6 Months Contracting
There’s a new lender in the contractor mortgage market – and they’re lending to contractors with as little as 6 months contracting experience. Their name is Buckingham Building Society.
To get a 95% mortgage contractors usually have to have two years experience, at least, as a contractor.
They also have to have a minimum income of £300 a day because of the extra perceived risk that lenders see with contractors.
Buckingham Building Society and Contractor Mortgages
However, the Buckingham Building society has cut through that. It is offering its mortgages to new contractors with just 6 months experience as a contractor.
Also, there’s no minimum daily rate needed. They will consider all contractors regardless of their contract rate.
Their mortgage offer will be based on the contractors’ daily rate annualised, i.e. their weekly rate multiplied by 48 to get their annual salary and then multiplied by up to 5 again to get the mortgage offer.
There’s no need for contractors to have to provide accounts. All the proof needed is the contractor’s contract.
Specialist Contractor Mortgage Market
More and more lenders are getting into the specialist contractor mortgage market.
They all used to think it was too risky.
One building society was convinced by a contractor mortgage broker to dip their toes in the water to see if contractors were a good risk.
It all worked out well. The contractors kept up their payments even when out of work and they did not default on their mortgages.
This gave the specialist contractor mortgages broker a lot of credibility and so more and more banks and building societies started to loan to contractors.
The Buckingham Building Society is just the latest.
Better Mortgage Offers for Contractors
Indeed it looks as if more and more banks and building societies want to hitch a ride on this gravy train.
As contractors give the contractor mortgage brokers more and more credibility, by keeping up their payments, expect better and better mortgage offers for contractors.
Buckingham Building Society are making mortgage offers to contractors, now, who have just 6 months contracting behind them.
Expect there to be more and more offers like this as the banks and building societies see lending money to contractors as not very risky at all.
To take advantage of this offer from the Buckingham Building Society, or other contractor mortgage offers, contact a specialist contractor mortgage broker by clicking on Contractor Mortgage Application and fill in the form there.