Getting a Mortgage - First House - 4 months Contracting

[Lockhouse]

The High Street in my experience will offer better rates once you have the accounts to back up the application.

Possibly but the OP said he doesn't have accounts.

[redgiant]

Halifax provided my mortgage which I signed up for another two years fixed at my previous rate (which is lower than their SVR).

[Scrag Meister]

Possibly but the OP said he doesn't have accounts.

Neither did I first of all, so I waited and got a good deal.

[kaiser78]

Try Barclays / Woolwich for 1st time contractor mortgages.

[psychocandy]

Hello everybody

I have been following this forum for a while and it has always been of great help.

I was intending to buy my first house. Key facts:

- I have been contracting for 4 months, first time. I used to be a permie.
- The idea is to buy my first property after 6 months, once my contract is renewed, with a property value of circa 200K
- Deposit: 35K

I contacted contractor mortgages made easy and, although I received a good feedback, it seems that I am not eligible. Lenders require a minimum of 12 months contracting. The company I work for is relocating and want me to continue with them so it all seems ok, I was planning to buy a first property near the new location as I have been renting for far too long.

Does anyone have any other companies I could talk to? Or any other recommendations?

I could rent for 6 more months and built up a bigger deposit with views of buying after 12 months, however my preference was not to rent again...

Thanks

S

Good luck with that one. Traditional mortgage lenders are even worse.

I wanted to add £10K onto my mortgage. Got £120K or so of equity. Been with them for 10+ years and never missed a payment.

But, 2 years minimum accounts or no way Jose. Apparently, my deemed income was ZERO because I was a temporary worker FFS. Apparently, if I had been claiming Job Seekers allowance that would have counted as some income but contract income counted for zero.

[Segush]

Thanks for all the replies. It just feels a little bit unfair, it makes me think I should have bought when I was a perm before deciding to try contracting, as I am not after a massive mortgage and I could have got that with my previous job (perm)...

I think I will rent in the new location for at least 6 months, build up a bigger deposit, file firs accounts and try again. Hopefully it will not prolong further than two years, however I would like to get a good rate and not a bad one just for being a contractor.

I am not in IT but in oil and gas, I have been told that makes things more complicated?

S

[escapeUK]

Thanks for all the replies. It just feels a little bit unfair, it makes me think I should have bought when I was a perm before deciding to try contracting, as I am not after a massive mortgage and I could have got that with my previous job (perm)...

I think I will rent in the new location for at least 6 months, build up a bigger deposit, file firs accounts and try again. Hopefully it will not prolong further than two years, however I would like to get a good rate and not a bad one just for being a contractor.

I am not in IT but in oil and gas, I have been told that makes things more complicated?

S

Teach the banks a lesson and buy outright in cash, will save you half the price and cost them all that interest.

[Jase]

I recently purchased a property (completed 1 June) with a 20% deposit. I’d been in my contract since August 2010 but only started a limited company in November 2011. So no company accounts but a decent period in the same contract. I approached two mortgage companies discussed on here:

1. Contractor Money
2. Contractor Mortgages made easy

Both ended up offering me the same provider and deal but Contractor Mortgages wanted to charge me a £495 fee on top of their commission. So I went with Contractor Money until Clydesdale stopped taking new applications. At least that is what Contractor Money told me but they stopped returning my calls and left me high and dry as I’d had my offer accepted and was in the process of surveys etc. Really poor service.

After doing a search of this board I found a post by AS Financial stating they were also mortgage brokers for IT contractors. Very professional and I had the mortgage offer and Halifax’s survey completed in two weeks. Segush, I know you said you are in oil and gas so you may want to find a financial adviser who specialises in your industry.

Jase.

[alreadypacked]

Teach the banks a lesson and buy outright in cash, will save you half the price and cost them all that interest.

Thar's what I did

[escapeUK]

One of those places offered me a Clydesdale bank mortgage too. Quite frankly they are rubbish in the marketplace, but if that's all you can get I suppose its better than nothing.