Client details have been anonymised to protect their privacy.
Many people working on fixed-term contracts assume they’ll struggle to get a mortgage. In reality, that’s not always the case. This case study shows how choosing the right lender can help contract workers secure a mortgage, even when some lenders take a more cautious approach.
Who This Case Study May Help
This case study may be relevant if you:
- Work on a fixed-term contract
- Are an IT contractor or consultant
- Work in the NHS
- Are a teacher or lecturer
- Work in financial services
- Have been told it’s difficult to get a mortgage on a contract
- Want to understand your borrowing options
The Client
Our client was an experienced IT consultant working on successive 12-month fixed-term contracts for a large financial services company in London.
Although they had earned a strong and consistent income for several years, they were concerned that being on a fixed-term contract would limit their mortgage options.
They wanted to purchase a property worth £675,000 and required a mortgage of £540,000 (80% loan-to-value).
The Challenge
The client had already approached their own bank before contacting Oportfolio Mortgages.
Although the bank was willing to consider their application, it took a cautious approach to their employment status and borrowing requirements.
The client wanted to know whether another lender would assess their circumstances more favourably and recognise the strength of their long-term contracting history.
How Oportfolio Helped
After reviewing the client’s circumstances, we identified that several lenders had more flexible criteria for applicants employed on fixed-term contracts.
Rather than focusing solely on the contract end date, these lenders were prepared to assess:
- The client’s long-term employment history
- Previous contract renewals
- Consistent income over several years
- Their strong affordability position
- Excellent credit history
We highlighted the consistency of their earnings and their proven track record of securing ongoing work within the same sector.
The Result
The client secured the mortgage they needed to purchase their new home.
More importantly, they benefited from:
- A competitive fixed-rate mortgage
- Borrowing that reflected their true income
- A lender experienced in assessing fixed-term contract workers
- A smooth mortgage application process
Most importantly, they were able to move forward with confidence, knowing their employment status wasn’t the barrier they had expected.
Why This Matters
One of the biggest misconceptions in the mortgage market is that fixed-term contracts automatically make it difficult to get approved.
In reality, many lenders regularly lend to:
- IT consultants
- NHS staff
- Teachers
- Engineers
- Public sector workers
- Financial services professionals
Every lender has different underwriting criteria, which is why choosing the right lender can make such a significant difference. Many lenders assess affordability based on the overall strength and sustainability of your income, not simply the wording of your employment contract.
Oportfolio Insight
At Oportfolio Mortgages, we regularly help professionals whose employment doesn’t fit the traditional permanent employment model.
In our experience, borrowers are often surprised by how differently lenders assess fixed-term contracts. While one lender may take a cautious approach, another may view the same application much more favourably.
For applicants on fixed-term contracts, lender criteria can be just as important as interest rates. Choosing a lender that understands your employment can make the difference between an application being declined and one being approved.
Speak To Oportfolio Mortgages
Whether you’re an IT consultant, NHS worker, teacher, contractor or another professional employed on a fixed-term contract, we’ll assess your circumstances and recommend lenders whose criteria match your situation. Get in touch today for tailored, whole-of-market mortgage advice.
