Specialist Mortgages: Contractor Mortgages
Our panel of carefully selected Specialist Mortgage Brokers are always here to support and assist you, offering a whole of market service. Who at times have exclusive offers for our clients.
What is a Contractors Mortgage?
A Contractor Mortgage is a mortgage that is secured based on your contract rate, not your accounts. It can be more complicated for a contractor at times to get a competitive mortgage deal directly from high street lenders as their advisors can struggle to interpret your limited company income, often trying to use accounts to do so.
There are thousands of mortgages successfully provided to contractors every year and our brokers have a range of products for your circumstances.
Types of Contractor Mortgages
- Fixed Term Contractor: Fixed term contracts are the closest that a contractor comes to being considered employed, and lenders see it in the same way. The criteria can vary from lender to lender, but lenders will often insist on a certain time period still remaining on the fixed term contract.
- Professional Contractors: Contractors, including general contractors, independent and subcontractors, will be assessed on a couple of factors such as there rate of pay and length of the project. Essentially though, it comes down to the daily rate and the multiples of that.
- Limited Company Directors (and umbrella): These can fall under this specialist mortgage area, and it is crucial to package up the income effectively as salary and dividends being drawn can qualify you for affordability, or the profit of the business can be included in certain structures.
- Agency Workers: Lenders vary considerably for agency workers, but absolutely mortgages can be successfully applied for. Length of time in roles, consistency of pay and continuity are all considered. Lenders will often require more payslips to show earnings over a period of time and assess your affordability.
Find out how our panel of specialist mortgage brokers can assist to find the right deal for you.