CIS Worker Mortgages
Subcontractors form the often-overlooked middle-ground between traditional employment and self-employment. Such individuals tend to receive payment through what’s known as a Construction Industry Scheme (CIS), and this can make mortgage approval slightly trickier to come by.
Mortgage lenders may shy away from the risk posed by irregular CIS incomes. Some will also expect higher deposits, and may even deduct expenses from overall profits. This can make mortgages seem out of reach but, as we at Bespoke Money have been proving for years, that simply isn’t always the case. By instead turning to a specialist mortgage broker like those on our team, mortgage applications needn’t be the hassle as we will guide you through ever step of the way.
Understanding the challenges posed by CIS
Before you can appreciate the value of a mortgage broker, it’s essential to understand the challenges your CIS status could pose. As mentioned, approval here is often dependent on high deposits (up to 15%). Many lenders will also penalise earnings depending on expenses. And, that’s when you have three years of accounts and reliable tax records behind you!
If you aren’t in such a comfortable position, CIS can pose further issues in your mortgage efforts, including –
- Refusal if your contract is less than a year old
Many lenders will ask for two to three years of accounts, but many will deny your application if your contract has been in place for less than 12 months.
- A lack of consideration with bad credit
If you have credit blips and a CIS status, many lenders may also reject your application.
How we can help
So, how can using a Bespoke Money mortgage broker help? In the majority of cases, the benefits here are fairly obvious. As with any other mortgage, a broker has broad access to the market, and can thus help to guide you towards the best deal according to your needs.
The value of such a service becomes especially beneficial when you consider your CIS circumstances. That’s because a mortgage broker who specialises in such cases will be aware of the best companies liable to accept you at good rates. To prove how valuable this can be, consider that our team regularly help subcontractors achieve mortgages that suit despite –
- Contracts of less than a year
- 5% deposits
- High day-rates with low net profits
- Less than three years in the UK
From the moment you arrange a no-obligation meeting with Bespoke Money, you can enjoy:
- Access to the best mortgage rates for your situation
- Mortgage offers despite bad credit
- Borrowing predictions based on rate of pay rather than income after expenses
- And so much more!
This can all work wonders towards finding you the right CIS mortgage on the market. If you’re fed up with facing brick walls in your CIS mortgage journey, then let us take the pain out of the process of seeking approval for you by phoning us for a free initial consultation first.
Think carefully about securing other debts against your home or property. Your home or property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.