Virgin Money Contractor Mortgages

Your Trusted Partner for Contractor Mortgages

Are you a contractor seeking a mortgage? Look no further than Virgin Money, a leading High Street lender that extends a warm welcome to day rate contractors, hourly rate contractors, and even those just starting their contracting journey.

A Dynamic Approach to Contractor Mortgages

Whether you operate as a contractor through your own limited company or as an umbrella company contractor, Virgin Money’s Contractor Mortgages department is open and ready to assess and accept your application. We take pride in our reputation as a contractor-friendly lender, with highly skilled underwriters who possess the authority to exercise discretion when needed.

At Virgin Money, we understand that contractors have unique financial situations, and we’re committed to providing lending solutions that meet their needs. We take an individualized view of each client’s circumstances, ensuring that your application is treated with the attention it deserves.

Policy for Day Rate Contractors

Virgin Money’s policy for day rate contractors is designed to be inclusive and accommodating:

• No Minimum Rate Requirement for Experienced Contractors: If you have 24 months or more of contracting history, there is no minimum day rate requirement. We recognize your experience and value your contributions.
• Minimum Contract Value for Newer Contractors: For contractors with less than 24 months of contracting history, the contract value needs to be at least £50,000, equivalent to a day rate of £217. This ensures that newer contractors have a viable income source.
• Flexibility with Hourly Rate Contractors: Virgin Money also considers contractors on an hourly rate basis, providing greater flexibility for those who are remunerated in this manner.
• Consistency in Work History: To be eligible, Virgin Money requires that you have been in the same line of work for a minimum of 24 months. This criterion ensures that you have a stable work history.
• Contract Duration: Additionally, Virgin Money prefers contractors to have at least 3 months remaining on their current contract, or an extension confirmed if available. This ensures that you have a stable income source.
• Open to Day 1 Contractors: The good news is that Virgin Money has simplified its contractor policy and can now consider applications from day 1 contractors. This is a significant breakthrough, providing more opportunities for contractors to secure a mortgage.

Gross Contract Value Calculation

Virgin Money’s approach to calculating your gross contract value is straightforward and transparent:

We multiply your day rate by 5 days and then by 46 weeks to determine the gross contract value. Importantly, Virgin Money does not calculate an average day rate based on the previous 2 years.

For example, whether you’re on a day rate or hourly rate:

• £327 per day x 5 days x 46 weeks = £75,210 gross contract value
• £43.50 per hour x (specified number of hours or 37.5 hours default) x 46 weeks = £75,037.50 gross contract value

Required Documentation

To facilitate your application process with Virgin Money, we kindly request the following documentation:

• Proof of Identity and Address: Proof of identification, such as a Passport or DVLA Licence. Proof of address, such as a Utility Bill or Council Tax Bill.
• Contract Documentation: Your current contract with the Terms and Conditions, signed and dated. Documentation highlighting a contract renewal, demonstrating your ongoing employability.
• Evidence of Your Work History: An up-to-date CV showcasing your excellent work track record.
• Financial Documentation: Personal and business bank statements for the past three months.
• Property Purchase Documentation (if applicable): If you’re in the process of purchasing property, proof of deposit or a gifted deposit letter may be required. We provide you with the required template for this letter, ensuring a smooth process.

Having all the necessary information upfront streamlines our process and allows us to present your application to the Virgin Money contractor mortgages underwriter in a professional and organized manner. This approach increases the chances of a swift and positive decision.

Trust the Experts

Instead of navigating the mortgage application process alone and risking potential setbacks, trust the experts at Virgin Money Contractor Mortgages to handle your application from packaging to obtaining the formal mortgage offer. Your homeownership journey starts here. Contact us today.