The limitations of looking for a contractor mortgage.

Due to the end of self cert mortgages and tightened mortgage regulation, contractors approaching the end of their fixed rate term are being faced with being switched on to their lender’s more expensive SVR.

For some, options may appear limited, with the likelihood that at the end of their current deal they will end up on a higher rate deal. If this describes your situation, then you may have tried contacting a high street lender only to be refused a contractor remortgage deal. While contract worker numbers have risen, many lenders are not amending their criteria to keep in line with these changes.

There is an alternative route, which is to use a specialist contractor mortgage broker. At Deal Direct we are experts at sourcing contractor mortgages. We can find you a lender to agree a deal based on a multiple of your annual contract rate - you may not even need 3 years of accounts.

The amount of equity you have in your home will be taken into consideration, as what you owe will be used to work out your LTV. The lower the LTV you are looking for, the lower the rate you will be offered.

Working out which lenders are prepared to advance contractor a mortgage can be a complicated business, which is why you are recommended to speak to an independent and impartial broker. At Deal Direct we have built up close relationships with UK lenders prepared to offer contractors favourable terms.

If you would like to know what your remortgaging options are, or if you would like to purchase a new home but are having difficulty finding a lender willing to make you a mortgage offer, call us on 0800 048 8828.

For impartial contractor mortgage advice and a low rate quote call today.

0800 048 8828