Mortgage rates for contractors?

**Lance** · 13 September 2021, 14:56

Originally posted by ApeShape View Post

What sort of interest rates have been found on offer lately? Natwest is 1.81%. Seems a bit high in light of all the free money the BoE is throwing around right now. And their historically low interest rate.....

Just wondering!

1.62% + base rate - Barclays. This is a completely flexible offset one. The reason for using it is due to the time delay between buying new home and selling old one. This one allows me to bung £300k into it after a few months, or pay it off entirely without penalty.
Better rates are available but at the cost of flexibility.
At least a 20% deposit absolutely essential.

EDIT: Just spotted who the OP is. Use a broker who can explain what the payments are and can calculate a percentage.

**zonkkk** · 13 September 2021, 15:26

It depends on the bank. My current mortgage is with Nationwide and applied for a newortgage with them. They offer exactly the same rates as for employees.

I applied as self-employed and they only take in account the amount if money you pay yourself out of the business. They didn't ask for anything other than my HMRC SA302 and Year summaries for the last 2 years for both me and my wife; we both have 50% shares.

Applied directly on their website. Got a phone appointment with one of their advisers and that was it.

**northernladuk** · 13 September 2021, 15:35

You sure the NatWest one accepts contractors? You need to speak to Freelance Financials. They'll sort through your situation and apply that to the different criteria the lenders have. Some won't accept breaks in contract, others need 3 months left of the contract etc.

So many hoops to jump though there is no point talking about rates until you have a list of lenders who's criteria you meet. My money is on the Halifax coming back with the best rates, but depends on whether you can get it.

Speak to Freelancer Financials.

**saptastic** · 14 September 2021, 08:26

yeah maybe speak to freelancer financials - they have given me good advice.

https://www.contractoruk.com/money/c...mortgages.html

I read an article about low Halifax rates from them.... will dig it out

**saptastic** · 14 September 2021, 08:27

here you go about halifax low rates

https://www.contractoruk.com/news/00...gh_street.html

Mortgage rates for contractors?