Don’t worry if you’ve been subcontracting for less than two years

The most common lament I hear from CIS subcontractor clients recommended to me is that they’ve been told by a mortgage lender or another broker that they need to have at least two years of self-employed trading figures in order to get a mortgage.  It gives me great pleasure to tell these clients that I can help them get a mortgage. 

In fact; as well as not having two years’ figures, I’ve also been able to help those who have lived in the UK for less than two years and even those who’ve only be CIS subcontracting for three months! 

So, why the confusion?  The typical way most mortgage lenders calculate the affordability for self-employed workers is to use a two-year average of annual net taxable profit.  This means all business-related expenses are deducted from turnover and how much you can borrow will be determined by what’s left over.  

However, there are some mortgage lenders that fully understand the CIS pay structure and allow for this within their lending criteria – this means that they will not automatically expect a two-year track record of self-employment and some may not even require one year!  It is though, true that many ask for confirmation that you have been involved in the construction industry for up to two years, but this can include time spent in employed roles. 

Happily, the lenders that I work with daily for my CIS subcontractor clients do not ask to see your tax returns, SA302s or any documentation from HM Revenue & Customs.  This is because they base their affordability decisions on your Gross CIS income over a period of either 3, 6 or 12 months (depending on the lender) – essentially treating you as they would anyone else!  Refreshing isn’t it? 

So, if you’re a CIS subcontractor with less than 2 years trading accounts and looking for a mortgage, I’d love to hear from you, give me a call today on: 08000 306705 or drop me an email to: