Coventry Building Society: Tailored Mortgage Solutions for Contractors
Coventry Building Society is one of the largest and most established building societies in the UK. Founded in 1884, it has a long history of serving its members with a wide range of financial products, including savings accounts, mortgages, and insurance services. Coventry Building Society offers mortgage options specifically designed for contractors, recognising that they often do not have a regular salary like traditional employees. Coventry takes into account factors such as contract income and work history to help contractors secure a mortgage that suits their situation.
With flexible options, Coventry makes it easier for contractors to purchase a home or remortgage an existing one, even if their income fluctuates. In short, Coventry’s contractor mortgages are designed to meet the unique challenges faced by contractors in securing a mortgage.
Why Contractors Prefer Coventry Building Society
Coventry Building Society is an excellent choice for contractors seeking a mortgage. They understand that contractors do not always have a steady income like other workers. Instead of relying solely on a regular payslip, Coventry evaluates your contract income and work history to help you get a mortgage tailored to your needs.
They offer flexible options, ensuring that even if your income fluctuates, you can still qualify for a mortgage. Renowned for their excellent customer service, Coventry provides tailored advice to suit your specific situation. With fair rates and a straightforward process, Coventry Building Society simplifies the process for contractors looking to secure a mortgage and purchase a home.
Essential Checklist for Securing a Coventry Building Society Contractor Mortgage
If Coventry Building Society seems like the right fit, we at Contractor Mortgage Solutions can assist you with your application. Here’s what you need to know:
Contract Requirements
Coventry is an ideal choice for day rate contractors. To qualify, you must have at least six months left on your current contract, unless your contract has less than six months remaining—in which case, you need at least 24 months of industry experience.
Income and Currency
Coventry has a strict credit policy. Applications will not be considered if you have had an Individual Voluntary Arrangement (IVA) or bankruptcy within the last six years.
Documentation for Limited Company Contractors
Your daily rate income is calculated over a 41-week period, and you must meet a minimum annual income requirement of £50,000, which equates to a minimum contract day rate of £217.39. Coventry does not accept income in foreign currencies.
Documentation For Umbrella Contractors
You will need to provide contracts for the last 12 months (multiple contracts are acceptable), business bank statements for the last two months, and a personal bank statement.
Documentation for Payee Contractors
If you work under an umbrella company, you will need to provide the same documents as limited company contractors, except for the business bank statements. Instead, you’ll need to submit the last three umbrella payslips.
Contracts Gaps and Earnings
Be mindful of any gaps in your contract history, as this could affect your mortgage application. Maintaining a consistent work history will strengthen your application.
By meeting these criteria, you can benefit from Coventry’s quick processing times and secure the mortgage you need.
Partnering with Coventry Building Society for Seamless Contractor Mortgages
We work closely with Coventry’s senior underwriters to ensure your mortgage application is processed quickly and efficiently. Our expertise enables us to submit your application accurately, often securing a Mortgage in Principle (MIP) within 24 hours. The full application process usually takes around three days, with completion in 2 to 4 weeks.
Coventry understands the contractor lifestyle and offers flexible mortgage options. If you are concerned about how a lender will view your income, our friendly team is here to help guide you through the process.
FAQ’S
How does Coventry calculate daily rate income for contractors?
Coventry calculates your daily rate income over a 41-week period. They take your contract day rate and multiply it by the number of working days in that period to determine your annual income for mortgage qualification purposes.
Does Coventry consider foreign currency income for contractor mortgages?
No, Coventry Building Society does not accept income in foreign currencies. Your income must be in GBP (British Pounds) to qualify for a mortgage with Coventry.
What steps can I take to improve my chances of getting approved for a Coventry contractor mortgage?
To improve your chances, ensure you have all the required documents ready, maintain a strong credit history, and provide a consistent contract work history. Meeting Coventry’s income requirements and minimising contract gaps will also strengthen your application.
How does Coventry’s policy on IVAs and bankruptcies affect my application?
Coventry does not accept applications from individuals who have had an IVA or bankruptcy within the last six years. While demonstrating a strong financial track record since then can help, it may not guarantee approval.