How to Contractor Mortgages - 5 Top Tips to Get a Mortgage

Top 5 tips to get a contractor mortgage

We often see that Contractor and freelancers are frequently concerned about attaining a contractor mortgage. You shouldn't be! As you read this article you will see that currently it really isn’t that difficult to secure a contractor mortgage. Superb deals and also low interest rates are still available, so take note,  and read these sure fire tips!

Get a healthy deposit

A minimum of 10% deposit is normally required by most contractor mortgage agencies

Having a comfortable deposit at for the process will help you get off to a great start. Unfortunately 100% mortgages for contractors are a thing of the past, so you will need to make sure you can provide at least 10% deposit. Providing a healthy deposit will enable you to achieve a lower rate mortgage and will extend your options.

Protect your credit rating

Ideally you need to provide a clean credit rating to contractor mortgage lenders.  If you do not display evidence of a healthy credit rating, a contractor mortgage lender can decided to deny your application.  Make sure you are up to date on credit card payments and be sure not to miss any payments as this will certainly reflect badly on your financial record. Also consider such things as being on the electoral roll as this will help.

Get an up to date contract

Make sure that your work contract is up to date as this is important to the contractor mortgage process. Such details as the length and the current amount will effect the final decision. These details are also needed so a contractor mortgage lender to assess how much you can borrow. You can also use contractor mortgage calculators to find out how much you can borrow.

Be sensible with your contractor mortgage

Make sure when you are sensible when deciding on a contractor mortgage to ensure you can comfortably afford the repayments

Plenty of contractor mortgages are available these days, but you need to first, understand your financial situation, set the boundaries of your lending, and then stick to them. To stop anyy financial problems you have to be sensible during the process. As a contractor or freelancer needing a mortgage make sure you know your limits, that way your mortgage repayments will be within your budget.