Mortgages, protection & insurance for contractors together in one home
Our specialty is securing mortgages for contractors and freelancers based on contract earnings alone. Not take-home pay. Not payslips. Not accounts. Their contract rate!
Every year we help thousands of contractors find the right deal on their mortgage, life insurance and income protection. In addition, using contract rates as a base often means access to more funds than their permanently-employed peers.
So why can’t I “afford” a High Street mortgage?
Since self-cert mortgages were withdrawn, contractors and freelancers have struggled to fund purchasing a home. Not only was this a thorn in the side for the UK’s self-employed workforce, it also created a massive headache for mortgage lenders.
As more workers joined the self-employed ranks after the 2008 global financial collapse, lenders saw a share of their mortgage market disappearing too. Contractors’ accounts were simply too involved for front-desk advisors to make sense of (predominantly, they still are).
Never getting past first base meant that contractors often got refused. It wasn’t because they couldn’t afford the finance. It was how their earnings were interpreted that was the problem.
Because limited company contractors’ payslips and accounts are geared for tax-planning, their “salary” is comparatively low. The net result in the eyes of those advisors: contractors simply didn’t take home enough to afford a mortgage.
The best mortgage deals, no accounts, no fluff
From those ashes, there is a silver lining. Select self-employed mortgage specialists have been able to broker deals with “Contractor-Friendly” lenders. We happen to be one such broker.
We don’t deal with in-branch advisors. Our application process has been hammered out with the decision makers: mortgage underwriters. They understand the way you work, as do we.
This means we can now offer contractors and freelancers mortgages based on the new arrangements. In essence, our advantage is passed on to you.
Enlightened lenders now use their standard multiplier as before, but on your annualised contract earnings to help them determine the maximum amount they’ll lend you. Now that’s progress!
What documentation do we need from you?
Simplicity is the answer. Two factors that help your mortgage application are that:
- it’s packaged correctly;
- it goes directly to the decision makers.
Underwriters don’t need payslips and 3 years worth of accounts. They can accurately calculate your true mortgage affordability based on your contract rate alone. After all, it’s the latter that truly reflects your full earning potential and disposable income.
To help us help you, we only need:
- a signed copy of your current contract, displaying your rate;
- an up-to-date copy of your CV;
- the last 3 months bank statements.
And you can stop looking for the “what else”. That’s it. Those three documents are all the underwriters need to work out your mortgage affordability.
Why do I need a specialist mortgage broker?
It grates when I hear the cliché “You won’t find these deals on the High Street.” However, in this case, it’s absolutely true (sorry!).
Appointing a specialist mortgage broker will help you avoid the tooth-wrenching agony of dealing with underwriters who simply don’t get contracting.
Advisors experienced in dealing with contractor mortgage applications will streamline the whole process. You have one point of contact. They deal with everyone else.
There’s an additional bonus. So little “fluff” is involved in applications based on the above three criteria alone that they often get processed more quickly than standard mortgages.
Why choose Freelancer Financials?
Over 99% of our clients are contractors. As such, our experience in talking to and understanding how limited company or UK payroll umbrella contractors work is vast.
Freelancer Financials is a leading contractor mortgage broker based in London. Our efficiency, reliability and integrity has quickly established us as a name to trust within the contractor marketplace
We take genuine pride in providing a fast and efficient service for all our clients, past, present and the many yet to join our community. We hope you are amongst that number.
Essential Protection Insurance For Contractors
Far too many contractors in the UK have either insufficient protection cover or none at all. Life, Critical Illness and Income Protection are insurance policies that contractors, above all, should not be without.
None of us think twice about insuring our household contents, pets or mobile phones. All-too-often, we neglect protecting the most important factor in contracting: ourselves.
It’s essential that you protect the things that matter: you, your family, your mortgage and your lifestyle.
At Freelancer Financials, our pride doesn’t end in helping you get the best mortgage deal for your circumstance. We’d also love to help you protect your livelihood against the many pitfalls that exist beyond the safety net of permanent employment.
Who will bring home the bacon if you can’t?
Our access to the UK’s leading insurance providers offer you fantastic rates on all policies. This includes life insurance, critical illness cover and income protection, providing you and your family with very affordable financial security.
If you’re not already prepared for the unexpected (or if you are, but are looking for a new deal), talk to us. Our advisors are happy to chat and walk you through what you need to do to put adequate protection in place for you and your family.
Contractor Mortgage Calculator
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