Clydesdale bank is a contractor friendly mortgage lender, just like Halifax. They consider applications from contractors working in any sector, be it IT or Non-IT; provided their calculated income exceeds £50,000 Per Annum. They fully understand what contractors' requirements and their style of working.
Our team of brokers have a close working relationship with Clydesdable bank, and have negotiated unique deals for Contractors. They are one of the few mortgage lenders that uses manual underwriting. They are very flexible with their lending criteria, and if the application is genuine then, they go that extra mile to ensure that the borrower gets what they deserve even if it doesn't exactly match their lending criteria.
To determine contractor's mortgage affordability, they've a very simple calculation in place:
- Contractors who have been self-employed for 2 years of more, their income is calculated by the average weekly rate method. Here, contractor's average weekly rate is taken from their current and previous contracts covering the most recent 12 month period and is multiplied by 46.
Calculation: Daily Rate x 5 (number of working days) x 46 weeks
They prefer contractors whose contract has been renewed at least once, and they do not accept offshore income structures. If your contract has been renewed by the same employer, Clydesdale will need to see original contract and the renewal pages.
Yes, you can apply, providing the Loan to Value (LTV) is a maximum of 70% and if:
If you don't exactly meet the lending criteria for Clydesdale Bank Contractor Mortgage then, don't worry; simply get in touch with us and we'll look into your case to try and negotiate an exception if your case is strong enough. We could also try and get you an Agreement in Principle before putting your mortgage application forward.
If you are not sure to do, please take help of a specialist contractor mortgage broker. At the end of the day, you don't want failed mortgage applications to leave footprints on your credit report. Any negative point on your credit history can adversely affect your future mortgage applications.