Accord Contractor Mortgages are the intermediary arm of Yorkshire Building Society, that’s a mortgage broker or consultant only lender with some really great products, which include offset products, free valuations, cashback deals, need we say more?
Accord is a great contractor-friendly lender with a dynamic approach, the underwriters are superb, with a good mandate for allowing discretions.
They are a lender who is willing to lend and take an individual view on the client’s circumstances.
Accord’s policy towards day rate contractors is as follows:
- Accord has a minimum qualifier for contractors, which is that the gross contract value needs to be £75,000, so this equates to £289 per day, based upon 52 weeks
- Accord also considers contractors on a day rate
- Accord will also consider contractors on a day rate of £300, who work less than the 5-day week, and do not reach the £50,000 minimum threshold
- Accord will either require you to have 3 months remaining on your contract in which case they ask for just 12 months contracting history as part of the packaging request, but if you have less than 3 months remaining, then they will want you to provide 24 months contracting history
- Accord will want to see some time remaining on your contract, like 4 weeks, you do not need a long time remaining, they understand that contracts are short term and do not insist on more than four weeks, if you have less than this, they will more than likely ask for an extension or new contract that you will be moving onto
- Accord does not like gaps in employment history, obviously, having a holiday or taking a few weeks out is not an issue, but if you have several months off in the 12 months, then it may be better to look at one of our other contractor-friendly lenders. Accord will consider contractor mortgage applications with up to 8 weeks between contract, so pretty generous
Accord will calculate your gross contract value in the following way:
- Accord tend to take your day rate then multiply by 5 days then multiply this by 46 weeks to reach the gross contract value
- They will not utilise the average of the previous year to reach an average day rate
For example, if on a day rate or hourly rate o £217 per day x 5 days x 46 weeks = £66,470 gross contract value o £42 per hour x (number of hours stipulated or 37.5 hours default) x 46 weeks = £72,450 gross contract value
In order to package your application, we will require the following:
- Proof of ID such as your Passport or DVLA Licence
- Proof of Address such as utility bill and council tax bill
- Current and previous contract going back 12 months with the Terms and Conditions, needs to be signed and dated
- Up to date CV to enable us to demonstrate that you have an excellent track work record
- 3 months of personal and business bank statements
- If purchasing, then we will require proof of deposit also
Having everything up front makes our job easier and ensures that we can present your application to the Accord contractor mortgages underwriter in a presentable fashion so that they can swiftly make a decision that will be positive.
If there is anything else required that our advisor feels necessary then they will let you know to ensure that your application, has the best chance of success, we do not require your tax calculations or your limited company accounts.
We do not take any chances with your application and take many hours to assess prior to submission so that your credit file remains intact, some advisors out there treat your credit file like a doormat, here at CMD we ensure that the affordability and chances of success are perfect prior to submission.
Call us or submit an enquiry online and we will get back to you for a free no-obligation and informal chat.