CIS Worker Mortgages
Tailored Mortgages to Fuel Your Property Dreams
If you're a subcontractor in the construction industry, this guide will provide you with valuable information about obtaining a mortgage tailored to your unique circumstances under the Construction Industry Scheme (CIS). We'll explore the benefits, eligibility criteria, borrowing potential, and how to navigate the mortgage application process as a CIS worker.
- Understanding CIS Worker Mortgages
- Key Benefits for SubContractors
- Eligibility and Documentation
- much more.
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What is a CIS Worker Mortgage?
A CIS Worker mortgage is a type of mortgage available to subcontractors who are registered under the Construction Industry Scheme. Unlike traditional mortgages, CIS mortgages consider the gross annual income stated on the payment and deduction statement as proof of income, rather than the net profit or self-assessment figure. This allows CIS workers to borrow more based on their actual income.
Key Benefits of CIS Worker Mortgages for Subcontractors
CIS Worker mortgages offer several advantages to subcontractors in the construction industry:
CIS workers can borrow more based on their gross income, increasing their purchasing power and enabling them to consider a wider range of properties.
Instead of providing extensive business accounts or self-assessment documents, CIS workers can use their CIS payslips as straightforward proof of income.
With the ability to borrow more, CIS workers may be eligible for better mortgage rates and more attractive deals from lenders who specialise in CIS mortgages.
CIS workers have the same range of mortgage options as other borrowers, including choices between fixed or variable interest rates, repayment methods, and mortgage terms.
Our Process
Embark on your shared ownership journey confidently, following these four strategic steps to make your dream of homeownership a reality.
Specialised Consultation
Begin your journey by scheduling a consultation with our expert team. We understand the unique financial landscape of CIS workers and will tailor our advice to your specific needs. This initial step allows us to assess your situation comprehensively.
Customised Mortgage Solution
A mortgage solution crafted specifically for you. Our experienced team guides you through the application process, ensuring your unique circumstances are considered. We are committed to providing a seamless experience.
Approval & Homeownership
Celebrate your approval and this exciting step towards homeownership. Our commitment extends beyond providing a mortgage—we empower CIS workers on their journey to owning a home, offering support and guidance throughout the process.
Book A Chat, Today
We offer a free consultation to assess your personal circumstances and discuss your options - obligation free.
How CIS Mortgages Work
CIS mortgages are designed to assist self-employed subcontractors in the construction industry. By using the gross income figure from CIS payslips, lenders assess the borrower's affordability and determine the mortgage amount they can offer. This approach is beneficial for CIS workers as it accurately reflects their income and allows them to access higher mortgage amounts compared to traditional self-employed mortgages.
Who is Eligible for a CIS Mortgage?
To be eligible for a CIS mortgage, you must be registered under the Construction Industry Scheme. This includes subcontractors engaged in various construction-related activities, such as site preparation, building work, alterations, repairs, and installations. Architects and surveyors' professional work is not considered a construction operation under the CIS.
Required Documentation for CIS Mortgage Applications
When applying for a CIS mortgage, lenders typically require the following documents:
3-6 months of CIS payslips as proof of income.
Corresponding bank statements to support the payslips and demonstrate financial stability.
These documents help lenders assess your income, affordability, and creditworthiness for mortgage approval.
Deposit Requirements Deposit Options for CIS Mortgages
CIS workers have the same deposit options as other borrowers. While it is possible to secure a mortgage with a 5% deposit, aim for a higher deposit, such as 10% or more. can provide access to a broader range of lenders and potentially result in more competitive interest rates.
How Deposit Size Impacts Mortgage Rates
A larger deposit can help secure more favourable mortgage rates, as it demonstrates your financial stability and reduces the lender's risk. If you have the means to contribute a larger deposit, it can enhance your mortgage options and potentially save you money over the long term.
Calculate your Borrowing Potential
Determining Your Gross Annual Income
Lenders calculate the borrowing potential for CIS mortgages based on your gross annual income. By analysing your CIS payslips from the past 3-6 months, lenders can determine your average monthly income and extrapolate it to estimate your gross annual income.
How Much Can You Borrow with a CIS Mortgage?
The mortgage amount you can borrow with a CIS mortgage is typically based on a multiple of your gross annual income. Lenders generally offer mortgages up to four to five times your annual income, depending on their specific criteria and your overall financial situation.
Affordability Considerations and Credit Status
When determining your mortgage affordability, lenders not only consider your income but also assess your spending habits, including credit commitments like car finance, credit cards, and personal loans. Demonstrating responsible financial management and maintaining a good credit history can positively impact your mortgage application.
Unlocking Homeownership
Why Choose a Mortgage Broker for CIS Worker Mortgages?
Choose a mortgage broker to make your homeownership dreams a reality, benefiting from their industry knowledge, lender network, and personalised approach tailored to the unique needs of CIS workers in the construction sector.
Mortgage brokers specialising in CIS worker mortgages understand the unique financial dynamics of the construction industry. Their industry expertise allows them to navigate the complexities of self-employment, ensuring you receive tailored advice and solutions.
A mortgage broker has an extensive network of lenders, including those who specialize in mortgages for CIS workers. This access broadens your options, increasing the likelihood of securing favorable terms and rates that align with your unique financial situation.
CIS workers often face fluctuating income and non-traditional financial structures. A mortgage broker works closely with you to understand your specific circumstances, crafting customised financial solutions that cater to the realities of self-employment in the construction industry.
Mortgage brokers specialising in CIS worker mortgages understand the unique financial dynamics of the construction industry. Their industry expertise allows them to navigate the complexities of self-employment, ensuring you receive tailored advice and solutions.
A mortgage broker has an extensive network of lenders, including those who specialize in mortgages for CIS workers. This access broadens your options, increasing the likelihood of securing favorable terms and rates that align with your unique financial situation.
CIS workers often face fluctuating income and non-traditional financial structures. A mortgage broker works closely with you to understand your specific circumstances, crafting customised financial solutions that cater to the realities of self-employment in the construction industry.
Mortgage brokers streamline the application process, managing paperwork and negotiations on your behalf. Their expertise ensures a smooth journey from consultation to mortgage approval, saving you time and reducing the stress associated with securing a mortgage.
Leverage the negotiating skills of a mortgage broker to secure the most favourable terms. From interest rates to repayment structures, a broker advocates on your behalf, maximising the benefits of your CIS worker mortgage.
A mortgage broker provides continuous support, guiding you through each step of the mortgage process. Their commitment goes beyond securing a mortgage— they aim to empower CIS workers on their path to homeownership, offering ongoing assistance and expertise.
Mortgage brokers streamline the application process, managing paperwork and negotiations on your behalf. Their expertise ensures a smooth journey from consultation to mortgage approval, saving you time and reducing the stress associated with securing a mortgage.
Leverage the negotiating skills of a mortgage broker to secure the most favourable terms. From interest rates to repayment structures, a broker advocates on your behalf, maximising the benefits of your CIS worker mortgage.
A mortgage broker provides continuous support, guiding you through each step of the mortgage process. Their commitment goes beyond securing a mortgage— they aim to empower CIS workers on their path to homeownership, offering ongoing assistance and expertise.
