Remortgaging with perfect record but temporary jobs

seebee73

Hello I need advice about whether I should risk/bother going to speak to other lenders. I assume they wouldn't look at us. Am I being too pessimistic? My pessimism means I am about to book a 2 year fix with Santander @ 3.79% because they won't ask for contract information and will make an offer over the phone. My mortgage is currently with A&L with 18yrs to run. No missed payments in 7 years etc and a perfect credit record. My partner and I have always worked in Universities on fixed term contracts but have never been unemployed but that could change of course. I have 9 months left on contract and am assured it will be renewed (but until I get the paperwork...) and my partner has 2 years left.

Would any other back make us an offer. I like the look of the first direct rates

seebee73

Anyone able to help?

harvey115

So you are a contractor then?

Do you get paid via PAYE through the universities or do you operate through a Ltd company or do you just file self employment yourself?

If PAYE through universities: You are classed as Employed and should be fine

If Contractor through Ltd company or self employed:
Typically the banks would ask for 3 years of accounts.
I would recommend that you try a broker specialising in contractors

seebee73

I am definitely an employee I pay into the pension scheme and get paid after tax through the PAYE system it is just that I only ever have fixed term contracts.

I thought a 9 month contract would frighten off other lenders

harvey115

I think you should speak to a broker, consider what they come up with and compare it with what you think you can get.

Baring in mind some lenders will not want to touch your application but some lenders are more lenient.

I would imagine you could compare your rates with Halifax, Clydesdale, Building Scosieties and similar lenders. I would rule out HSBC, First Direct and lenders alike from this equation as there criteria would be far to hard to match and they usually pick who they would like to lend from the vast majority.

seebee73

Thanks for this. I don't think 3.79% is actually a terrible rate but I shop round for everything else except my mortage and it seemed a bit daft not to at least look around

Thanks for this

Nicky_Noo_Na

I would definately go to a (free) broker. My husband is always on fixed-term contracts as he works for a university and I was also fixed-term when we got our first mortgage. We were told that if you have been employed by the same departement for over 3 years or if your contract has been renwed twice or more then you count as permanent staff and can put 'permanent' on your application so we did and we were approved no problem. Hope this helps.

And yes 3.79% isnt too bad but if you can get it cheaper why not try!

seebee73

That's helpful. I know I am counted as open ended for the purposes of redundancy etc but I have never thought of that as anywhere akin to permanent and now in the current climate in Universities and everywhere else there is no guarantee