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Contractors Best Friend For Financial Advice
Contractors Best Friend For Financial Advice


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Mortgages from Broker who Actually Understand the Way Contractors Work

The government has requested outside help by way of review so that they can understand the way self-employed people work.

Fair play. It's a sign of good leadership. But it the budget is anything to go by, they need all the help they can get because they haven't got a clue.

Sadly, that's the situation with High Street banks when it comes to appraising contractors for mortgages.

Even more sad Is that it needn't be that way. Many mainstream lenders offer what's called "Contract-based Underwriting".

It uses your annualised contract rate to get you a mortgage based on what you're really worth, your income.

The problem? It's underwriters who deal with these applications, not in-branch staff.

For years, we've built relationships with those lenders and their underwriters. Now, we're able to offer you not only competitive mortgages, but access to them without going through an affiliate.

We are accredited brokers; we know how you work, how the underwriters work and, most importantly, how best to show your potential to those underwriters.

Even if you've not been messed around on the High Street ike so many contractors before you, don't risk it. Get a mortgage that reflects what you're truly worth:
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My new mortgage repayments: what they'll look like after the base rate rise?

Unless you've been under a rock for the last month, you'll know that the Bank of England raised the base borrowing rate from 0.5% to 0.75% last month.

OK. It's not a fat lot. The effect on your mortgage #repayments shouldn't break your own bank, at least not based on the table that The Guardian produced transposing the recent rise across a generic Tracker rate template for a range of mortgage balances.

But what was interesting after the rise was the interview outgoing MPC member Ian McCafferty gave The Guardian in a follow-up piece.

Whilst he admitted that #interestrates weren't likely to rise to pre-crash values any time soon, they will steadily increase now that the dog is out of the traps.

Over the course of the next few years as the base rate creeps up, the minimal increase you'll pay now if you're on a variable rate mortgage may become not so insignificant.

If you're savvy, you can protect yourself from any immediate future increases. How?

We, as a people, don't #remortgage enough.

It seems such a hassle to go through the mortgage process all over again - especially if you're a contractor - that we settle, even when we know it's (often) the most amount of money that goes out of our bank account month in, month out.

Why do we do that?

Phones, cars, insurance and TV contracts we can't wait for the contract to end…
…so why do we let ourselves slip onto a standard variable rate once the fixed term contract on our mortgage expires?

It doesn't make sense.

It's not like it used to be, either. Switching mortgages, providing you have a decent track record, can be done almost entirely through a broker without you hardly having to lift a finger.

Break the habit. Switch today, save tomorrow. It's not rocket science.
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**Even with payslips, High St lenders reject umbrella contractors**

Everything was going so well. You, like many other #publicsector contractors, decided #umbrella contracting was the way to go.

No messy accounts. No worries about automatic payroll. And the threat of IR35 all but extinguished.

There was even the bonus of getting payslips every week when you submitted your timesheet.

And thinking back, wasn't all that hassle you had trying for a #mortgage the result of not having #payslips?

What now? Go rushing off down the High Street and ramming your last six payslips up the advisor's nose, demanding the keys to your new home?

Hold on, Tiger.

Have you actually had a look at those payslips? Nothing like the ones you had when you were an employee, are they?

What are all those deductions? Why don't they match up to your day rate? Who are all those creditors on your bank statement?

Look. If you're a #contractor - no matter what your payment structure - you'll always get a better deal going through a specialist #broker.

They talk the same language as specialist underwriters. They have direct lines to those decision makers, who, you won't in your local branch on a Saturday morning.

Payslips or not, take the smart option. Patience, diligence and a broker on your side. Win, win every time.

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The pain free way to raise cash in a pinch for contractor homeowners

If you're looking to raise cash quick, without having to go through a #remortgage, you may well be sitting on your best asset to help you do so without realising it.

If you've built up a minimum of 15% equity in your home, you could consider a #secondmortgage.

A #second mortgage often:
• takes less time to arrange than a remortgage;
• has a greater scope for borrowing than an unsecured loan;
• has more competitive repayments than loans without security.

Many #contractors will have had a rough ride getting a mortgage in the first place.

Looking to remortgage completely is a battle they may not have the time or inclination to face.

But as this is not a whole mortgage, specialist brokers have access to often dynamic lending in this field.

The full breakdown of second #mortgages - including an example of a second mortgage vs a remortgage - is in our latest guide:
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**Contract Vehicle Leasing for Over-Achieving Independent Professionals**

So you've nailed the #contract with that big client. You know, the one you've been hankering after for longer than you care to remind yourself.'

You look the part: whether you have to suit and boot or "dress for your day", your wardrobe is dripping in labels.

Your skill set has never been in doubt. You know the role inside out, blindfold. You want everyone to know that you've got every base covered and some they've not even seen on the diamond.

You are pitch perfect.

So, skills: check; wardrobe: check; hardware: check; OMG - what about wheels!?!?

After all that effort, you cannot turn up on the first day in that much loved (but in dire need of TLC) #car on your drive that the tat man's had his eye on for months.

Look. You only ever get to make a first impression once. And you know you want and need to make a statement from the off.

Get yourself across to our sister company, Prestige Leasing: car #leasing and finance tailored to contractors and freelancers. Here's all the gumph you need; now you just need to drive a hard bargain:
Car Finance and Leasing for Contractors
Car Finance and Leasing for Contractors
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For and Against: the Professional Contractor Conundrum

Have you ever thought that you're wasted where you work? Ever thought that you could do better on your own than as the sycophantic workhorse you are?

The problem most wouldbe #entrepreneurs face is self-belief. Do you really have a #skill or service that you could offer as a genuine commodity your industry would pay handsomely for?

Well, you're not alone in thinking that way. Many professionals have ditched traditional #employment to instead offer their service as an independent #contractor.

Of course, you'll have questions:
• How do you get clients?
• How do you make sure that there's a demand for your service and that you'll be in demand enough to warrant the switch?
• How do you go about accounting and the taxman?
• How do you go about becoming a limited company entity?

Those are just the most common questions. But - as luck would have it - hundreds of thousands of professionals have had the same questions before you.

The contracting revolution has spurned genuine opportunity

Today, contracting is a burgeoning industry, spurred on by the digital age. If you have a shortfall in your knowledge, there's a service provider who'll pick up the slack.

The trick is to stop thinking about supplying your service against the same backdrop as your employed status. Get your head around that, and you've taken a huge first step to liberation.

Our #guide looks at the pros and cons of contracting to help you decide if you want to proceed further. The arguments set forth will help you decide if you've got it in you to be the entrepreneur you one day dreamed you be; good luck!

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Government steps in to thwart rip-off #Estate #Agents

When a whistleblower stepped up to highlight the volume of malpractices and shear bravado rife in 'her' chain of #EstateAgents, it shocked the industry.

Her interview revealed a whole host of dodgy tactics, immoral if not illegal, that estate agents are using to drive up their income with commission from #mortgage lenders as well as that from the house sale itself.

• Data Protection? Non-existent.
• Using buyer mortgage affordability to drive up the home sale price? Disgustingly, yes.
• Sweeteners for buyers? Aplenty.
• Hidden commission for mortgage providers? Absolutely.
• Deterring buyers who came with their own mortgage lender in tow? Hell, yeah.
• Ringfencing sellers so that the agent guaranteed themselves a commission (even though it cut down on vendor's accessible buyer pool)? Yes, even that.

Incidentally, the government launched a consultation in October 2017 to 'professionalise' the Estate Agency industry.
It seems that the industry needs a little more help than that to improve its reputation.

But it's not that alone that worries us. For now, we have to accept that Estate Agents are in cahoots with mortgage brokers. But specialist borrowers like #contractors and freelancers could come a cropper if they let agents sweet talk them into talking to their mortgage provider.

Don't let them! Speak to a broker who understands your various payment structures and can translate it to a mortgage lender who can use the biggest part of your income, not just your SA302 salary!

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Contractor mortgages for independent professionals with bad credit

Not so long ago, contractors outside of IT struggled to get a #mortgage that used their day rate at all.

Over the last three years, we've seen the market change beyond recognition. Now, dozens of mortgage lenders offer contract-based underwriting.

But what about #contractors who've got an imperfect credit file?

Surely they represent too high risk on top of their short-term contract, even today?

Well, no. Not any more.

Several specialist lenders - typically those who only deal through brokerages - are now offering mortgages for contractors with #bad credit.

There are things you can and should do before applying to give you the best chance. But get all your ducks in a row and, yes: your imperfect #credit score may not be the barrier you assume it to be:
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Lending criteria for friendly self-employed mortgage lenders
(and some not so friendly)

As a #selfemployed worker, getting a mortgage can be daunting. Not all lenders are open to your way of working; others welcome you with open arms.

But until you actually get to meet each of them, you've got no idea which is which.

It gets worse: you realise that no two lenders assesses your #affordability the same way. What can you do to swing the game in your direction?

From the outside looking in, there's no way you'll ever know.

Understanding that, being on the inside and all, we've put together a guide of six of the most self-employed friendly #mortgage lenders you could wish to find…
…and a couple of those less accommodating too.

As they say: "keep your friends close, your enemies closer."

Here, we're drawing that line:
Best Self Employed Mortgage Lenders
Best Self Employed Mortgage Lenders
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Mortgages for Self-Employed People that Optimise YOUR Payment Structure

There are different ways the self-employed do their accounting and use their payment structures. The way they trade changes the way they process their business accounts and income.

Not that you'd guess this on the High Street. Untrained advisors may know about their own bank or building society's #SelfEmployed lending policy. But they may be blind to the different payment structures that those working for themselves use.

In-branch, you are stuck not only with that singular lender's #mortgage deals, but also that (often outdated) overarching policy.

Here at Self Employed Mortgages, we know that:
• there's a gulf between a company director and a sole trader;
• a freelancer is unlikely to be a partner in their business;
• an IT contractor would have to be nuts to work through an umbrella company.

Don't get stuck in that pigeonhole. Use a service that not only works with flexible mortgage #lenders, but also knows how to demonstrate your true mortgage affordability based on the way you work!
Mortgages for Sellf- Employed Workers
Mortgages for Sellf- Employed Workers
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