Limited Company Contractor Mortgages
IT Contractors often have difficulty getting limited company contractor mortgages because of the need to provide three years of accounts. However there are ways round that.
If Limited Company contractors walked into a bank or building society in the high street and said they wanted a mortgage they would be asked for three years worth of accounts.
Even if they could provide that they wouldn‘t be able to get a mortgage based on their full daily rate but on the figure once expenses etc. had been taken out.
And the better job their accountant has been doing the lower the mortgage offer will be.
They might even get a smaller mortgage than a permanent member of staff.
Good News for Limited Company Contractor Mortgages
However, there is good news as regards Limited Company Contractor Mortgages.
There are now a number of specialist Contractor Mortgages available from specialist financial companies in the area who can set Limited Company contractors up with mortgage offers based on their annualised contract rate rather than on their salary in their accounts.
It means that contractors can get limited company contractor mortgages based on their true earnings without taking into account tax saving methods such as pension contributions used by contractors to minimise their income.
Higher Mortgage Offers
This means that contractors can get a much higher mortgage offer and can get that home of their dreams which wouldn‘t be available through a high street lender.
They are now able to get limited company contractor mortgages at similar rates and similar deals to their permanent colleagues but get much higher offers.
These offers are not available in the high street but only through specialist lenders who operate in the contractor sector.
Unfortunately many Limited Company contractors walk into a high street lender and when they are turned down that affects their credit rating when they try to get another mortgage.
They need to make sure that their first application goes through a specialist who deals in contractor mortgages.
The Contractor Mortgage specialist will make sure that the application is correctly packaged to make sure that the contractor will get the best offer for a contractor mortgage that is available and that they get accepted first time.
Basically contractors are using the specialist mortgage brokers‘ track record and their credibility in the marketplace.
All You Need
All the Limited Company contractors will need to get top contractor mortgages are:-
– A signed copy of your current contract
– Photo Id
– A Utility Bill
– Three months bank statements
Find Out More
It used to take ages to process contractor mortgages for Limited Company contractors but with this route you can have an offer with an hour.
The whole process takes only 3 to 6 weeks so you could be in the home of your dreams in pretty short order.
To find out more about Contractor mortgages or to see how much you could borrow based on your contract rate, fill i the form below and someone will get back to you.