Saffron Building Society has reduced rates and extended terms on self-employed and contractor mortgages.
For self-employed with one year’s trading accounts there are two 3-year fixes, a 3.07% mortgage at 80% loan-to-value (LTV) and 3.57% rate at 90% LTV. There are two 3-year fixed contractor mortgages, a 2.87% deal at 80% LTV and a 3.37% mortgage at 90% LTV.
Anita Arch (pictured), Saffron’s head of mortgage sales, said: “Long gone are the days of a job for life or income being generated from just one source each month.
“Self-employment and contract work is most definitely on the up with 4.8 million choosing to work this way according to the Office for National Statistics.
“This shift in working patterns gives a fantastic sales opportunity for brokers. Using a specialist lender is a proven way to successfully fulfil a customer’s mortgage needs when they choose to work like this and don’t necessarily fit into standard lending criteria.
“All applications made with Saffron are individually assessed by a skilled underwriter giving brokers customers an efficient and personal service taking into account what can sometimes be a unique employment situation.”
The number of self-employed workers has steadily increased in the UK since 2001 and now account for around 15% of the working population.
There are two 5-year fixed rate self-employed mortgages, a 3.07% mortgage at 80% LTV, with a maximum loan of £1,000, and a 3.57% deal at 90% LTV with a maximum loan of £500,000.
For contractors there are two 5-year fixes, a 2.87% rate at 80% LTV, with a £1,000 maximum loan limit, and a 3.37% mortgage at 90% LTV with a maximum loan of £500,000.