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On contract and getting a mortgage

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  • 24-08-2019 2:52pm
    #1
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭


    I'm hoping someone can help me. I recently started a job that's described on the contract as a part time consultancy. I have a one year contract. The hours aren't fixed but I generally make between 500-600 per week. The company I work for aren't Irish. My partner works in a full time, permanent job that pays 50k per year. We're hoping to get a mortgage in the future, what are the chances of my earnings being counted towards being granted one? What do I have to do?


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    #2
    Samuel T. Cogley
    Registered Users Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Try KBC our main earner was on contract and they were willing to accept it.


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    #3
    riclad
    Registered Users Posts: 8,184 ✭✭✭riclad


    Go and see a mortgage broker .
    Keep your bank statements , save x amount every month in 1 bank account.


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    #4
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Samuel T. Cogley wrote: »
    Try KBC our main earner was on contract and they were willing to accept it.

    Thanks for the reply. Did your main earner have a fixed income? And were you given a mortgage of 3.5 times your combined earnings?


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    #5
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    riclad wrote: »
    Go and see a mortgage broker .
    Keep your bank statements , save x amount every month in 1 bank account.

    You mean a joined account?


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    #6
    Samuel T. Cogley
    Registered Users Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Tobecontinu wrote: »
    Thanks for the reply. Did your main earner have a fixed income? And were you given a mortgage of 3.5 times your combined earnings?


    Fixed income in an industry that typically works on contract. AFAIK we got an exemption over the 3.5 limit.


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    #7
    KylieWyley
    Registered Users Posts: 547 ✭✭✭KylieWyley


    I'm on contract and Ulster Bank were willing to take a portion of my income into account (we weren't looking for 3.5x of combined income).

    To help build the case, they asked for history of past earnings and a CV to show potential for future earnings.

    Any extra info you can provide to strengthen your case will help.


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    #8
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Samuel T. Cogley wrote: »
    Fixed income in an industry that typically works on contract. AFAIK we got an exemption over the 3.5 limit.

    The fixed income was key I'd say. Did they need a lot of past records can you remember?


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    #9
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    KylieWyley wrote: »
    I'm on contract and Ulster Bank were willing to take a portion of my income into account (we weren't looking for 3.5x of combined income).

    To help build the case, they asked for history of past earnings and a CV to show potential for future earnings.

    Any extra info you can provide to strengthen your case will help.

    By a portion do you mean something very small? Below 50% of your income?


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    #10
    Samuel T. Cogley
    Registered Users Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Tobecontinu wrote: »
    The fixed income was key I'd say. Did they need a lot of past records can you remember?


    No but they could see a fairly good career progression and no gaps etc.


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    #11
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Samuel T. Cogley wrote: »
    No but they could see a fairly good career progression and no gaps etc.

    I haven't got that. :( So your CV is very important? Do you have to verify all past employment?


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    #12
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Oh yeah, I should have said, with this being an overseas company, I'll be paying tax through self assessment. Will that have any effect?


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    #13
    Phileas Frog
    Closed Accounts Posts: 946 ✭✭✭Phileas Frog


    I'm a contractor too and the banks just wanted my CV. The 3.5 multiple was based off the average of my last 3 P60s


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    #14
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Phileas Frog wrote: »
    I'm a contractor too and the banks just wanted my CV. The 3.5 multiple was based off the average of my last 3 P60s

    But like I said, I've just started this job. Before this, I returned to education and before that I was working abroad.


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    #15
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,687 Mod ✭✭✭✭Stheno


    Tobecontinu wrote: »
    Oh yeah, I should have said, with this being an overseas company, I'll be paying tax through self assessment. Will that have any effect?

    They may look for three years accounts


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    #16
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Stheno wrote: »
    They may look for three years accounts

    What if my accounts show I've not made much money in the past 3 years?


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    #17
    Samuel T. Cogley
    Registered Users Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Tobecontinu wrote: »
    I haven't got that. :( So your CV is very important? Do you have to verify all past employment?


    As the post above I think they'd look at you as self employed.


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    #18
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,687 Mod ✭✭✭✭Stheno


    Tobecontinu wrote: »
    What if my accounts show I've not made much money in the past 3 years?

    If you are currently self employed and you have three years accounts for your company they will probably take the lower figure


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    #19
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Stheno wrote: »
    If you are currently self employed and you have three years accounts for your company they will probably take the lower figure

    I've already stated that I just started this job and I was in education prior to this.


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    #20
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Samuel T. Cogley wrote: »
    As the post above I think they'd look at you as self employed.

    Will having little in my accounts for the past few years but having 600 per week from here on count for much? I mean, how long will I have to be earning decent money for a bank to even consider me for a mortgage? I understand if you don't know the answers to these questions. Thanks for you help.


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    #21
    Samuel T. Cogley
    Registered Users Posts: 10,684 ✭✭✭✭Samuel T. Cogley


    Tobecontinu wrote: »
    Will having little in my accounts for the past few years but having 600 per week from here on count for much? I mean, how long will I have to be earning decent money for a bank to even consider me for a mortgage? I understand if you don't know the answers to these questions. Thanks for you help.


    No idea I'm afraid.


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    #22
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,687 Mod ✭✭✭✭Stheno


    Tobecontinu wrote: »
    Will having little in my accounts for the past few years but having 600 per week from here on count for much? I mean, how long will I have to be earning decent money for a bank to even consider me for a mortgage? I understand if you don't know the answers to these questions. Thanks for you help.

    So to give you a comparison I was self employed as a contractor for several years.

    I applied for a car loan and had to supply three years accounts to show consistent income for that time.

    If you can't do that you may struggle. Go talk to a broker.


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    #23
    bee06
    Registered Users Posts: 4,514 ✭✭✭bee06


    Tobecontinu wrote: »
    Will having little in my accounts for the past few years but having 600 per week from here on count for much? I mean, how long will I have to be earning decent money for a bank to even consider me for a mortgage? I understand if you don't know the answers to these questions. Thanks for you help.

    Your best bet would be to talk to a mortgage broker to understand what exactly you need to do going forward to be a good candidate for a mortgage.


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    #24
    Stheno
    Moderators, Business & Finance Moderators, Science, Health & Environment Moderators, Society & Culture Moderators Posts: 51,687 Mod ✭✭✭✭Stheno


    How long are you in your current job?


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    #25
    Squall Leonhart
    Closed Accounts Posts: 1,794 ✭✭✭Squall Leonhart


    As a sole applicant who was contracting, I got a mortgage with bank of Ireland in 2017. I had a letter from my employer stating I had been working with them 18 months and would be working for them for the foreseeable future. I'm still working for them, but now a permanent staff member


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    #26
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Stheno wrote: »
    So to give you a comparison I was self employed as a contractor for several years.

    I applied for a car loan and had to supply three years accounts to show consistent income for that time.

    If you can't do that you may struggle. Go talk to a broker.

    I'll need to talk to a broker but I think going in for this mortgage with someone in full time, permanent employment should help. I hope anyway.


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    #27
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Squall Leonhart wrote: »
    As a sole applicant who was contracting, I got a mortgage with bank of Ireland in 2017. I had a letter from my employer stating I had been working with them 18 months and would be working for them for the foreseeable future. I'm still working for them, but now a permanent staff member

    Good to hear.


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    #28
    Phileas Frog
    Closed Accounts Posts: 946 ✭✭✭Phileas Frog


    Tobecontinu wrote: »
    But like I said, I've just started this job. Before this, I returned to education and before that I was working abroad.

    I was only a contractor for less than a year too... As I said, 3 X P60s is what's important. Didn't have to provide any company accounts. Sole applicant too btw. EBS


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    #29
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    Phileas Frog wrote: »
    I was only a contractor for less than a year too... As I said, 3 X P60s is what's important. Didn't have to provide any company accounts. Sole applicant too btw. EBS

    What if I don't have 3 x p60's? What if I don't have any?


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    #30
    Phileas Frog
    Closed Accounts Posts: 946 ✭✭✭Phileas Frog


    Tobecontinu wrote: »
    What if I don't have 3 x p60's? What if I don't have any?

    Then you haven't a hope.


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    #31
    Tobecontinu
    Closed Accounts Posts: 60 ✭✭Tobecontinu


    I know people have said I should go to a broker but it's Sunday and I'm impatient. No one here will probably know the answers but I'll ask anyway. How would this look if applying for a mortgage?

    Weekly earnings of 600 euro
    200 of this into joint savings account

    Partner does the same and has a permanent, full time job earning 50k.

    Would that stand up?


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