Getting your contractor mortgage application approved.

The contract market is growing, with more and more workers taking the contractor route. With this significant change to the UK employment market, lenders are being forced to take a serious look at their product ranges and update their lending criteria to avoid missing out on a growing employment sector. 

Some high-street lenders are unfortunately proving resistant to this change, and continue to restrict lending to contractors. Therefore when searching for an offer, it's important to know which lenders will look at your application in a favourable light. Knowing who to contact is vital in achieving a successful mortgage offer.

Deal Direct contractor mortgages.

The mortgage market is beginning to open up for those contractors who know who to contact for a deal.

At Deal Direct we work with a growing number of lenders who review contractor mortgage applications on an individual basis. They look at contractors in a favourable light, and are more likely to approve applications and make an offer.

Our lenders include:

HALIFAX BS

Lending criteria:

• Any contractor occupation will be accepted by the lender.
• There is no minimum income requirement for IT contractors.
• Income calculations are based on the current day rate over 48 weeks.
• Day-1 contractors are accepted.
• Contractors from overseas without permanent residency will be considered.

METRO BANK

Lending criteria:

• There is no minimum income requirement.
• Any contractor occupation will be accepted.
• Most tax structures will be accepted which includes limited companies and umbrellas.
• Income calculations are based on the current day rate over 46 weeks.

CLYDESDALE

Lending criteria:

• Any contractor occupation will be accepted, however this is subject to a minimum income requirement.
• Income calculations are based on a 2 year average of the day rate over 46 weeks.
• If supported by the broker, flexibility can be applied on standard criteria.

NATIONWIDE 

Lending criteria:

• Any contractor occupation will be accepted.
• There is no minimum income requirement.
• Help to Buy and Shared Ownership are offered for contractors.

KENSINGTON

Lending criteria:

• The minimum income requirement is low.
• Income calculations are based on 1 year’s average of the day rate over 46 weeks.
• Flexibility is offered for gaps in contracting.
• There is tolerance of bad credit which includes CCJs and payment defaults.

LEEDS BUILDING SOCIETY

Lending criteria:

• The minimum income requirement is low.
• Income calculations are based upon the weeks and rates worked over a year.
• Up to 6 week gaps between contracts will be accepted.

As you can see from the small sample of lenders we have listed (we deal with many more), mortgage criteria varies from lender to lender. To avoid missing out on a mortgage contact us for advice. We can work out which lenders’ criteria you fit best.

Why choose us?

• For several years we have been building close relationships with contractor mortgage providers.
• We are experts in this sector of the mortgage market.
• As lending criteria varies, we make a full review of your circumstances to ensure we match you with exactly the right lender.
• We offer the right expert advice and a search of the entire contractor mortgage market.
• We make is easier to get approved for a mortgage.

To discuss your eligibility for a contractor mortgage and the rates offered, please call us at Deal Direct.

Speak to an adviser today. 

0800 048 8828