CIS mortgage case study by Mortgage Experts Online

CIS mortgage case study by Mortgage Experts Online

We come across a wide variety of different cases, some more complex than others. The one thing our mortgage experts pride themselves on is treating each case in the same way. Treating customer fairly is the cornerstone of our expert’s ethos.

Below is an example of a case one of our mortgage experts advised on in the middle of last year. We have changed the names for the purpose of the case study.

Mr & Mrs Jones CIS mortgage case study

Mr Jones is a CIS worker; this means he’s paid under the construction industry scheme (CIS). He was stopped 20% tax at source and completes a tax return by the end of January to claim back any overpaid tax.

He also had a previous default on a mail order catalogue from just over 3 years ago, this default was now settled.

Mrs Jones was a newly qualified teacher; she had been accepted in her first role to start in September 2019 – At the time this was just under 2 months away and was only a 12-month contract.

CIS mortgages- problems faced.

Mr & Mrs Jones had initially spoken to an advisor at their own bank and ran into the following problems

  • Mr Jones was classed as self-employed and needed 3 years accounts
  • Mrs Jones, they wouldn’t use the income from the new job until she had been in the role for a minimum of 3 months.

This caused a great deal of stress and uncertainty for them both. This is when they looked online for help and luckily came across us.

CIS mortgages -solutions.

After speaking to one of our experts they quickly discovered that there would be some mortgage options available to them, and our mortgage expert was able to advise the following:

  • By using a CIS mortgage lender who would treat Mr Jones as employed, they could use the average income from the previous 6 months remittance slips
  • They could use all the income for Mrs Jones new job upon her producing her contract.
  • After reviewing the credit reports, the credit score indicated that it would fit with a High Street lender.

By treating Mr Jones as employed and not self-employed this really boosted his income

2018/2019 – Tax calculation showed Mr’s income as £22,500 assessed as self-employed

Averaging the latest 6-month CIS remittance slips and grossing this up showed an income of £31,000.

CIS mortgages summary

The mortgage market is constantly evolving, our experts are highly skilled whole of market advisors. Whatever your situation if it can be done, our experts will find the way to do it.

Speak to a CIS mortgage expert

There are many lenders available ranging from high street to specialist lenders. Most people go to their own bank, get declined or can’t borrow what they need – just because one lender has declined you, don’t give up.

Our mortgage experts will look at each case before deciding which lender is right for you and your individual circumstances. All the mortgage brokers we work with are whole of market and offer unbiased advice. They will have access to all the specialist lenders to really enhance your chances of achieving the mortgage you need.

The expert brokers we work with have experience in dealing with all aspects of CIS mortgages, and importantly using the whole of the market to access the very best deals available.

To find out how we can help call us on 0300 124 5655 or complete our quick enquiry formto speak to a mortgage expert.

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