In today's digital age, influencers have emerged as a common presence, reshaping the landscape of self-employment. The allure of this unconventional career path is undeniable, with the influencer market growing from €1.5bn in 2016 to nearly €20bn today.

Influencers derive their income from diverse sources and precisely how much an influencer earns varies. Their income can depend on the number of sponsors they have, how much content they dedicate to promoting a partner, the percentage they earn on eligible purchases, and how many followers they have across their social media platforms. The unique nature of their income sources raises a crucial question: Can influencers secure a mortgage in Ireland, a process traditionally geared towards conventional employment?

Influencers operate as self-employed individuals, similar to any other sole traders in any other sector. Where an influencer's net income exceeds €5,000, they must register with Revenue and meet their tax obligations such as paying Income Tax.

An influencer's income may comprise direct payments, gifts, free use of goods, or free use of services. Where you receive direct payment for a post, you should declare that income in your tax return. The complexity arises where you receive "benefits in kind", i.e. free use of goods or services, in lieu of direct payment. For example, where you get free use of a car for a year in return for attending events run by the dealership. These benefits should be treated as taxable income. This was confirmed in the Tax Compliance Notices that Revenue recently issued to a number of influencers, emphasising that tax obligations of influencers are no different from those of others operating in any other sector of the economy.

As an influencer, your sources of income may vary, including social media platforms, affiliate marketing, sponsored posts, brand ambassadorships, and collaborations. Therefore, you should ensure that you keep diligent records of all your income. When applying for your mortgage, you will have to provide your lender with 6 months' bank statements from all your accounts, so it is imperative that you meticulously identify and document every income source.

When applying for your mortgage, the lender will also require you to provide evidence of paid taxes spanning a minimum of 2 years. This necessitates rigorous record-keeping and transparent financial accounts. It is, therefore, advisable that you appoint an account to organise your accounts and documents. For purposes of your mortgage application, your accounts should be audited, up-to-date and organised to make it easier for the lender to assess your financial situation. In some cases, lenders may also request a letter from your accountant to certify your accounts; confirm that your business is tax compliant; and confirm that your business is profitable now and will continue to be once you get your mortgage.

A key part of any mortgage application is to demonstrate a proven repayment ability as lenders want to ensure that you, as a borrower, are mortgage ready and will be able to pay your proposed mortgage repayments.

To satisfy the lender's requirements, you need to prove that, for at least 6 months prior to applying for your mortgage, you have the ability to pay your planned mortgage repayments. Evidence of your monthly rent payments and/or evidence of regular monthly savings are two of the main ways of showing your repayment ability.

Influencers, like many self-employed individuals, can also bolster their mortgage eligibility through strategic measures, i.e.:

Securing a mortgage as an influencer is attainable, contingent on comprehensive financial documentation and strategic financial planning. Lenders assess not only the influencer's overall income but also their individual circumstances. Given the complexity of the mortgage market, seeking guidance from mortgage specialists should be a priority.

Our team can provide tailored advice, helping influencers navigate the intricate process and step confidently onto the property ladder. Contact us today to embark on your journey to homeownership, and let us assist you in finding the perfect mortgage solution tailored to your unique needs and circumstances.