CIS Non-Standard Construction Buy To Let Mortgage
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Most buy to let mortgages are not regulated by the Financial Conduct Authority
CIS Non-Standard Construction Buy To Let Mortgage
David Sharpstone explains how non-standard Buy to Let mortgages work for CIS contractors.Podcast approved by The Openwork Partnership on 06/01/2026.
How do lenders assess Buy to Let mortgages for CIS contractors on non-standard construction properties?
It’s a mixture of CIS criteria and Buy to Let criteria, with a sprinkling of non-standard construction.
For context, any property that’s made of bricks, stone, tile and slate is standard. Anything that deviates from that is non-standard. Perhaps the walls are made from timber frame, block construction or prefabricated concrete. Lots of those were built after the war in the 1960s and 1970s when the population was rapidly expanding.
We especially see concrete builds in new towns around the cities – such as Harlow and Basildon in Essex, plus Stevenage in Hertfordshire. They have lots of non-standard constructions. In Hainault, which is closer to London, we find lots of iron and steel there.
Now, if you’re paid through the CIS scheme, and you’re looking to get a Buy to Let investment property, and the property is non-standard, the mortgage lender will look at your income as if you are just regular self-employed. Your CIS vouchers will not apply.
If you’re a sole trader, they take your profit after expenses, and if you’re a limited company director, it’s normally the salary and the dividends that you’ve drawn. But don’t be worried that this doesn’t show enough income for a Buy to Let – in a weird way, the less you earn, the more you can borrow on a Buy to Let. It’s all to do with taxation.
A lower-rate taxpayer, which many construction workers are, might earn below the £50,000 bracket. They can borrow more on a Buy to Let mortgage than somebody who actually earns at the higher rate of tax, earning above £50,000.
Typically, most lenders would want to see a minimum income of around £25,000 in profit, with proof over at least one year [information correct at the time of recording in December 2025].
Can I use my CIS statements instead of full tax returns to prove my income for a Buy to Let application?
If you’re trying to get a Buy to Let mortgage and you’re paid through the CIS scheme, a mortgage lender is going to look at your self-employed tax calculations – not your CIS statements.
But as I said in the previous answer, that’s not a bad thing. You just need one full year’s records to show your income.
Do many lenders work specifically with CIS contractors for non-standard Buy to Let mortgages?
No. This is very niche, and there is not a single lender in that space. Some lenders are better for non-standard construction, and others are better on how they assess Buy to Let mortgages. But there isn’t a single lender that specialises in CIS subcontractors for non-standard properties with a Buy to Let mortgage. That doesn’t exist.
How many months or years of CIS history do I need to qualify for a non-standard construction Buy to Let mortgage?
If you’re paid through the CIS scheme and want to buy a non-standard construction property on a Buy to Let mortgage, the vast majority of lenders would want one full tax year as a minimum.
They’d want to see your first tax calculation. Don’t worry if it’s low, because some lenders don’t set a minimum income. Others would want to see a £25,000 profit. There are various options for us.
Can projected income from ongoing or upcoming construction contracts be included in my affordability assessment?
This is the same whether it’s a residential or a Buy to Let mortgage. The opinion of most mortgage lenders is that if you haven’t earned it and you haven’t paid tax on it, it can’t be included.
Will I need a higher deposit as a CIS contractor for a non-standard Buy to Let property?
The amount of deposit you need is exactly the same as for anybody else. For most mortgage lenders, it typically starts at 20%, but more products are available with 25%. You’ll also get a better interest rate with 25% compared with 20%.
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Are interest-only mortgages available for CIS contractors buying property to let?
You do have options around the repayment method, which can be interest-only or capital and interest – also known as a repayment mortgage. It’s not like a residential mortgage, where there are lots of hoops to jump through before a lender gives you interest-only. Those hoops don’t apply on a Buy to Let.
In fact, the vast majority of buyers for an investment property do take interest-only mortgages. There are pros and cons to both options. Just be aware that with a mortgage on interest-only, there’s got to be a repayment vehicle at the end of the mortgage term.
The most common one would be to sell the property to pay off the debt – and hopefully that property has accrued some value in the long term. But it might be short-term, if it’s a property that you’re flipping. That’s the most common repayment vehicle.
Other repayment vehicles might be investments or a pension, or something like that. You’ve got to have a plan to pay back an interest-only mortgage. Remember, you’re only servicing the interest every month on the mortgage, so that debt does not reduce.
If you borrow £100,000 on an interest-only mortgage, after 25 years on that mortgage, you’re still going to owe £100,000.
How do lenders treat gaps or irregularities in my CIS income when assessing a Buy to Let mortgage?
Most mortgage lenders want to see that you have some income to cover rental voids. They need to make sure that this property is unlikely to be repossessed because you can’t pay.
Gaps in CIS income are not normally a concern because a lender looks at your income over a longer period. They look at the profit on your tax calculation. Gaps or irregular payments won’t show on that.
Can I borrow for a property under construction or off-plan for Buy to Let?
You can, but it’s not that common. Most investors don’t look at new build properties, because they lose money as soon as somebody lives in it. It’s like a new car – once you drive it off the forecourt, it’s lost a third of its value.
It’s not quite as dramatic for a house, but they do lose money when they’re no longer new. But you can get a Buy to Let mortgage on an off-plan or under-construction property, as long as it will be under warranty.
Normally, it needs to be one of the bigger warranty companies like NHBC or Zurich, and the bank’s surveyors can value the property.
What can I do as a CIS contractor to improve my chances of approval for a non-standard construction Buy to Let mortgage?
The first thing to do is check your credit file. You really want to look at a multi-agency credit file – Checkmyfile is popular, and there are others. A mortgage broker can help you interpret what it means, as there’s a lot of information and it can be very historic.
The worst thing to do would be to apply for mortgages without knowing what’s on your credit file. You could end up being declined, and that may impact your credit further. As a mortgage broker, we will always ask for a multi-agency credit report to see what the lenders can see.
If you’re paid through CIS, obviously, you’re self-employed. Make sure you’ve got your first tax calculation because we’ll need that. It’s often known as an SA302, and there’s a second document called a tax year overview stating what amount of tax and national insurance is due or has been paid. We need to check that the figures match up on both.
Accountants sometimes provide documents that don’t match up – perhaps there’s been an amendment, and it hasn’t been updated on the HMRC register. It can mean that the document is rejected, and we need to get a fresh one from the accountant. So just make sure that’s all correct.
Key Takeaways:
- For a Buy to Let mortgage on a non-standard construction property, a CIS contractor’s income is assessed as if they were a regular self-employed person. Lenders will look at the profit after expenses (sole traders) or salary and dividends (limited company directors).
- The vast majority of lenders require a minimum of one full tax year of records. Applicants must provide their self-employed tax calculation (SA302) and a tax year overview showing tax and National Insurance due or paid.
- This is a highly niche area, and there is no single lender that specialises in Buy to Let mortgages for CIS subcontractors purchasing non-standard construction properties. The application requires meeting a combination of CIS criteria, Buy to Let criteria, and non-standard construction criteria.
- The amount of deposit needed is the same as for any other buyer, typically starting at 20% of the property value, with 25% offering a greater choice of products and better interest rates.
- Interest-only mortgages are commonly available for Buy to Let, but borrowers must have a plan to pay off the principal debt at the end of the term, such as selling the property, as the monthly payments only cover the interest.
YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
MOST BUY TO LET MORTGAGES ARE NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY.
Approved by The Openwork Partnership on 06/01/2026.
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