Had a break in contract, need a mortgage

[ranmis]

I am currently in a contract, have been contracting for lat 5 years. However, I had taken a 10 month break form March 2014 to Jan 2015. Any suggestion as to who could give me a mortgage in my case?

My husband has been contracting without a break for over 2 years.

[northernladuk]

Ring John or Ken at Freelancer Financials (google it). They specialise in contractor mortgages and will now how to deal with the break. Lots of different options so speak to them first.

[Power Mortgages Ltd]

I am currently in a contract, have been contracting for lat 5 years. However, I had taken a 10 month break form March 2014 to Jan 2015. Any suggestion as to who could give me a mortgage in my case?

My husband has been contracting without a break for over 2 years.

I think you will struggle to find a lender who would lend if your income is required and you have to go down the contractor route as lenders generally like to see you have been contracting for the last 12 months unless there is a very good reason for it but even still, that is on an exception basis only, really. However, if you contract through your own Limited Company and can prove your income by way of 2-3 years Ltd Co accounts then that could be a way forward.

If you have to go down the contract rate route and your husband's contract rate is sufficient to cover the amount you need to borrow though, then it will not matter that you took a break.

Hope that helps?

[Freelancer Financials]

Ben from Power Mortgages is correct in saying that it will probably be difficult for your income to be used along with your husband's. But NOT impossible. It will also depend on the length of your current contract and the loan to value (LTV).

Some contractor friendly lenders will also give an exception if the break was for maternity reasons.

Like Ben said, your husband's contract earnings alone may be sufficient to borrow what you both need.

Just multiply your husband's daily contract rate by the number of days worked each week x 48 weeks. The lender will then use a factor of either 4.5 or 5 to determine how much you can borrow. So if a contractor's day rate is £320 (works 5-days week), they can potentially borrow up to £384,000. Or at the lower 4.5 multiplier, £345,600.

Some lenders will use 46 weeks instead of 48 weeks to calculate affordability.

All the mortgage specialist that post regularly on this forum should have no problem assisting you.

Good luck!