Expert support and advice
Contractor remortgaging
Remortgaging as a contractor can be very challenging – a perfect storm of decision-making, paperwork and detailed planning. There are the applications, exploring the rates on offer, liaising with lenders and – sadly all too often – dealing with rejections from high street lenders.
While the process is usually more straightforward than a standard or first-time buyer contractor mortgage application, there can still be a lot to navigate before you can officially toast your successful remortgage.
That's where we come in. For over 15 years, our team of specialist mortgage brokers have helped contractors get the best possible remortgage deals. We’ve already researched the whole of the market for the best remortgage options and strive to find you the one that fits your unique circumstances perfectly – all from reputable lenders, some of whom offer exclusive products.
Starting your remortgage journey with us is simple. To get the ball rolling, all we require is some information about your contracting background and current projects.
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Use our contractor remortgage calculator to discover remortgage deals
Why not take a look at our mortgage calculator to discover your potential remortgage options? It’s an easy-to-use tool that shows you remortgages you can apply for based on property value, loan required and length of term. You’ll then be presented with a list of deals, including:
- Name of lender
- Interest rate and period
- Monthly payment
- Final rate
The Cleerly team can then guide you through your options and help you put together a compelling mortgage application that boosts your chances of securing a mortgage. For more information, give us a call on 02394 212912.
Can independent contractors get a remortgage?
Yes, an independent contractor can absolutely get a remortgage, however the process is usually more complex as lenders often don’t understand the nature of your income unless presented by a specialist broker.
Cleerly works with a diverse set of lenders who evaluate each independent contractor's circumstances based on their daily rates, rather than simply focusing on limited company accounts or umbrella pay slips.
When is the right time to remortgage?
Everyone has their own personal reasons for wishing to remortgage. These may include:
- Your current deal is up for renewal and you’re about to move onto a Standard Variable Rate
- Your property has increased in value giving you access to more attractive rates
- You wish to borrow more money for home improvements or debt consolidation
- You want more flexibility or better terms for your mortgage, such as a shorter or longer term, a fixed or variable rate
- You would like to use savings to reduce interest on your mortgage (offset)
Documents required during the application process
How to secure a remortgage for contractors
As a contractor, you will be required to provide verification of your employment status. High street lenders tend to look at limited company contractors as self-employed workers and will usually request at least two years trading accounts. Umbrella contractors tend to struggle based on how income is broken down on your payslip. Our specialist broker can navigate all these issues and more.
Here are some examples of the necessary documents you'll be expected to submit:
- Current signed contract
- Personal bank statements
- Business bank statements (if Ltd)
- Umbrella payslips (inside IR35)
- Proof of experience and day rate
Can you remortgage your house to release equity as a contractor?
Remortgaging can be a useful way to unlock cash for a variety of needs such as home improvements or debt consolidation. The process involves switching your existing mortgage to a larger one, which lets you retain the extra cash after settling the initial mortgage. Anyone can remortgage their property to release equity, providing they meet the criteria set by the lender and take into account any early exit fees set by your current lender.
Cleerly can guide contractors through the process and identify the lenders with the fewest additional charges. We’ll also manage all paperwork and application submissions, keeping you informed every step of the way.
Trusted lenders we work with
