We specialise in Mortgage Advice for Subcontractors paid via the Construction Industry Scheme (CIS)
Can I get a mortgage with less than 2 year accounts?
Yes, some lenders now accept the first year of trading plus a projection. In fact, with a good credit score, some banks do not even ask for a projection.
I only have a 5% deposit; can I still get a mortgage if I’m self employed?
Quite simply, yes. Being self employed doesn’t mean that you need more deposit than your employed counterparts. You will find that with a 5% deposit the interest rates are higher, and lenders set the bar higher to pass their credit checks
I have some bad credit, can I get a mortgage?
It depends on what sort of bad credit, how long ago it was registered, whether it is satisfied, and the amount registered against you. One or two late payments are unlikely to because you harm. If you have a default with a mobile phone company some lenders will overlook this because they realise how easily these companies give them out. Lenders hate to see payday loans, debt management plans and IVA.
How long does it take to get a mortgage?
Mortgage lenders will identify the paperwork required to support the application. Once all of this is sent to the lender, expect the whole process to take between 7 and 10 working days. During this time, the property needs to be valued and will depend on the availability of the surveyor. More banks are moving over to a system of automatic valuations based on market data.
How long do I have to be contracting for before I can apply for a mortgage?
If you are a CIS contractor, you will need to be contracting for at least 6 months, of which the bank will take an average of your last 13 weeks income before tax. Any private jobs you do will be ignored. For other contractors, most banks will look for at least a year, and will expect to see that the contract has been renewed at least once.
I’ve been in the UK for less than 3 years – can I still get a mortgage?
The ability to get a mortgage largely depends on credit score and history. The longer you have been in the UK the more history you have. That said, some banks will allow less than 3 years in the UK, but be prepared to have at least 15% deposit.
I do a lot of cash jobs, can I use this income to get a mortgage?
As long as the cash is being accounted for and you are paying tax, then you can evidence this income to support a mortgage.
What paperwork do I need to apply for a self employed mortgage?
Standard ID documents will be required along with evidence of your deposit
If you apply as a CIS contractor you will need your last 3 months/13 weekly payslips and bank statements showing the income in your account. You will need to provide both your business and personal bank statements. If you are applying as a sole trader or Limited Company Director, most banks will ask for your last two or three self assessments. Your accountant can obtain these for you, or if you self assess they are also available on you government gateway access. You will need your SA302 document or summary page from the online account confirming‘100% Complete’. You will also need a document for each tax year called a ‘Tax Year Overview’