Introduction
When you are a contractor, it can be difficult to secure a mortgage. Traditional lenders often do not understand the complexities of your work and may not be willing to take on the risks associated with your income fluctuations. However, there are specialist lenders who cater specifically to contractors and can offer tailored mortgage solutions to meet your needs. In this blog post, we will discuss the benefits of using contractor mortgage lenders and what you should look for when choosing one.
Flexibility
One of the main benefits of using a contractor mortgage lender is the flexibility they offer. Traditional lenders often require a regular income and a long-term employment contract, which can be difficult for contractors to provide. Specialist lenders understand that your income may fluctuate and can offer mortgages based on your contract rate rather than your annual salary. This means that you can borrow more when you are earning more and less when you are earning less. Specialist lenders can also consider a wider range of income sources, including dividends and retained profits, which may not be taken into account by traditional lenders.
Tailored Solutions
Contractor mortgage lenders can offer tailored solutions to meet your specific needs. They understand that contractors often have unique circumstances and can offer mortgages that reflect this. For example, some lenders may offer mortgages based on your contract rate rather than your annual salary, while others may allow you to take payment holidays or make overpayments without penalty. Specialist lenders can also offer mortgages to contractors who have been self-employed for less than three years, which is often a requirement for traditional lenders.
Experience
When choosing a contractor mortgage lender, it is important to look for a lender with experience in the contractor market. Specialist lenders who understand the complexities of your work are better equipped to offer tailored solutions that meet your needs. They can also offer advice on the best mortgage options for your circumstances and help you navigate the application process. Look for a lender who has a good reputation and positive reviews from other contractors.
Conclusion
If you are a contractor looking for a mortgage, it is important to consider using a specialist lender who understands your unique circumstances. Contractor mortgage lenders offer flexibility, tailored solutions, and experience in the contractor market. When choosing a lender, look for one who has a good reputation and positive reviews from other contractors. With the right lender, you can secure a mortgage that meets your needs and allows you to achieve your homeownership goals.
