Most specialist contractor lenders assess project managers using their contract day rate rather than limited company accounts. This approach reflects your true earning potential and can significantly increase your borrowing capacity.
Your current contract day rate is annualised using a standard working year to calculate affordability.
Using the annualised contract value can provide a much higher borrowing limit than salary and dividends alone.
Lenders including Halifax, Accord, Coventry and Saffron have contractor-friendly assessment policies.
Choosing a lender that understands contract project managers helps ensure your income is assessed correctly.
APM-qualified, PMP-certified and PRINCE2-practitioner PMs may qualify for professional mortgage products at certain lenders. Eligibility depends on the lender's specific criteria, and not all PM qualifications trigger the same professional product access as regulated professions like medicine or law. We check eligibility as part of our standard assessment.
Many contract project managers build successful careers across multiple industries. Specialist lenders focus on your project management experience rather than the sectors you've worked in.
Most CIS-friendly lenders require twelve months of CIS deduction statements to demonstrate consistent income. Some will consider nine months of history for applicants with a strong financial profile. Unlike some other contractor income types, the two-year SA302 requirement does not apply where the lender is using CIS gross-up assessment rather than self-assessment income.
For CIS contractors who have been in the scheme for less than twelve months, the options are more limited but not non-existent. We identify the lenders most flexible about CIS history length and advise on whether waiting to accumulate a full twelve months of statements produces materially better mortgage options.
Contract project managers who work inside large enterprises — banks, NHS, central government — are frequently inside IR35 following the 2021 reforms. The standard gross-contract-value assessment principle applies. We route all inside IR35 PM cases to lenders who use gross rather than PAYE income assessment.
With the right lender, no. Specialist contractor lenders assess discipline continuity — you are consistently a project manager — rather than sector continuity. We work with lenders who take this approach for PM contractors.
Expense reimbursements are not income and should not be included in affordability calculations. A day rate that includes expenses rolled in is acceptable — a day rate plus separate expense claim is assessed on the day rate component only.
Remaining contract term of less than three months can cause concern with some lenders. The solution is either to apply before the contract enters a very short remaining period, or to evidence a renewal letter or next contract. We advise on timing and documentation.
For lenders who accept day-one contracting, a strong employed PM background in the same discipline is sufficient alongside a current contract. Others require six to twelve months of contracting history. We identify the most appropriate lender for your specific transition timeline.
Subsistence and allowances are reimbursements, not income, and cannot be included in mortgage affordability calculations. The assessable income is the contractual day rate for your PM services.