PAYE Versus Fixed Term Contract for Mortgage Application

[Martin@AS Financial]

This is a really good question.

The main challenge here I would say is the 6 month gap. As a general rule, banks do not like to see too many breaks in your contracting history. However, with a good reason and plenty of experience within your industry, an underwriter may be persuaded to take a view.

You just need to give them comfort that when a project finishes, you can quickly source your next role. which is where the industry experience comes into play.

[northernladuk]

When I had an offset mortgage, I would draw down from myCo and put it into the savings account and then repay before year end, and take it out again in the next financial year. Possibly not technically correct and you do have to have the discipline to not spend the cash. You can knock a few years off the mortgage term if managed well and, as eek says, build up an emergency buffer.

Yeah using DL. Used to be OK until they tightened up on bed and breakfast loans. Not worth the hassle once they did.