Mortgages for contractors?

G

Geord05

Full Registered User
Well, I've searched endlessly on google and can't find anything to suffice, at least not from a Maritime Security viewpoint, it's all offshore oil workers etc (though this may be the same?!) My step dad works on the rigs however and say's it is different.

Just wondering how I can manage to get a mortgage without a regular income i.e. as you all know, we take contracts and we can take time off inbetween during which time we will have no income. How does this work? Any help appreciated.
 
If your self employed they will prob ask for three years books and take an average to work out what they will give you. Oh and a letter from your accountant. Well thats what they did with me anyway.
 
It works with significant difficulty, mate.

Not least in this day and age, 3 years accounts and a decent accountant, it may help if you have a contract and details of your income (less likely in Marsec).

I was lucky enough to get mine in the days when a passport, a bank statement and a promise saw 300,000k+ in your account in a few days. I'd imagine now that it is significantly more dificult. (Especially seeing as some banks are now demanding a 40% deposit!!)

Good luck and let us know if you get a decent result.

Cheers.
 
Hi Geord05,

I've been a reader on this forum for a while but after seeing this post today I thought I would take the plunge by finally registering and participating.

I myself am very new to this industry after only recently leaving the army however I have a number of friends who have been contracting for a while and was discussing exactly this issue with one of them the other day as this was a major concern for me seeing as I will be looking to buy in the not to distant future.

My friend informs me that there are a number of specialist contractor mortgage companies out there that can help you secure a competitive mortgage based on your contract rate and there is no need for letters from accountants etc.

The one he recommend to me was - www.contractormortgagesuk.com

I trust this is of some use and I look forward to being more involved on here.

Kind Regards

Ian
 
Cheers lads. Hmm maybe things change more than one would think. I've been in touch with someone back home who works for an estate agents. She says (being fully aware of my situation) that there are in fact some lenders out there who will give to me what I need. No 3 years worth of accounts etc, only one year. But this may be as my company offers 8 month contracts so its somewhat more secure than others may be.

I'll take a look at that site now. Cheers.
 
I know it's an old thread, but I was just wondering how you or anyone else got on with the mortgage situation as I'm going to be looking for a mortgage sometime in the the middle of this year. I'm working n Iraq and a none uk resident so thinking that contractor mortgages.com will be the Bly way for me.....
 
Well worth getting int touch with our associate Tom Fielding of Fielding Finanacial Services in Abergavenney on 01873 856 716. He has assisted a lot of our MarSec clients in the mortgage process.
 
I recently remortgaged two places and the question that was asked via my broker was "do you pay tax on your income"
Going on just that question then yes was the answer as I declare that income to the tax man and they were happy with that.
Best to use a broker and let them be diplomatic with the answers to the lender.
 
Getting a mortgage can be a nightmare for contractors, especially those who are non- dom (expats). There are often solutions though and it does very much depend on the situation.

If it is a first property then the situation is easier, there are a few lenders out there, though it is often about the mortgage broker and their relationship with the lenders (incredibly).

For second Buy-to-let properties the it gets a bit more tricky, they often want to see a minimum of 6 months in the UK, which does not work for those on the 90 day rule.

For both, however, I would recommend either Mark Hosker (ex RE 9 sqn lad) at Bespoke Finance Buy to Let Mortgage Broker - Bespoke Finance or Lisa Orme at Keys. Both have a good reputation in the industry and have helped my CP clients get finance.

Third option, is non status finance. This is historically for those who couldn't get a mortgage by other means and has dried up significantly for residential purchase, but has actually grown and become more popular for investment purchases. This has happened with the growth of peer to peer finance and reduction in bank lending. With investments this means they lend on the property not the person (i.e. will only lend on a sound low risk investment), the have first claim on the property - like a normal mortgage. This is not for everyone, as you are limited on the choice of property (unlikely to lend on buying Mums house etc), but for those who are after more hands off it can be a good low risk option.
 
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