Contractor Day Rate to Mortgage Converter

See how lenders convert your day rate to annual income — and what you could borrow.

Your day rate → your borrowing power

Your annualised income
£115,000
Borrowing at 4× £460,000
Borrowing at 4.5× £517,500
Borrowing at 5× £575,000

These figures are illustrative only. Actual borrowing depends on lender criteria, deposit, credit history, and individual circumstances. Income multiples vary by lender.

Get an accurate figure → Book a free call

Day rate to mortgage borrowing — quick reference

Based on 5 days × 46 weeks = 230 days/year. Multiple of 4.5× applied.

Day rate Annualised income Borrow at 4× Borrow at 4.5× Borrow at 5×
£200/day£46,000£184,000£207,000£230,000
£250/day£57,500£230,000£258,750£287,500
£300/day£69,000£276,000£310,500£345,000
£350/day£80,500£322,000£362,250£402,500
£400/day£92,000£368,000£414,000£460,000
£450/day£103,500£414,000£465,750£517,500
£500/day£115,000£460,000£517,500£575,000
£550/day£126,500£506,000£569,250£632,500
£600/day£138,000£552,000£621,000£690,000
£650/day£149,500£598,000£672,750£747,500
£700/day£161,000£644,000£724,500£805,000
£750/day£172,500£690,000£776,250£862,500
£800/day£184,000£736,000£828,000£920,000
£900/day£207,000£828,000£931,500£1,035,000
£1,000/day£230,000£920,000£1,035,000£1,150,000
£1,200/day£276,000£1,104,000£1,242,000£1,380,000
£1,500/day£345,000£1,380,000£1,552,500£1,725,000

Table uses 230 working days/year (5 days × 46 weeks) and assumes the full day rate is accepted by the lender. Actual figures will vary.

How lenders turn a day rate into a mortgage offer

Specialist lenders don’t look at salary or dividends. They take the contract day rate and multiply it by the expected number of working days in a year — typically 230, based on 46 weeks at 5 days, allowing for holiday and gaps between contracts.

That annualised figure is treated as the contractor’s income. An income multiple — usually 4× to 5× depending on the lender, deposit size, and credit profile — is then applied to produce the maximum loan figure.

The result is typically significantly higher than what payslip-based or accounts-based assessment would produce. A contractor drawing £30,000 as salary from a £500/day contract would be assessed at £115,000 annual income by a day rate lender — nearly 4× higher.

→ How we assess contractor income in detail

What can change your borrowing figure

Days and weeks worked

Not everyone works 5 days × 46 weeks. If you regularly work 4 days/week or take longer breaks, adjust the calculator accordingly. Some lenders will cap the weeks used.

Income multiple

Lenders vary. 4.5× is the most common, but some will go to 5× for strong applications. Others cap at 4×. Deposit size and credit profile affect which multiple is available.

Deposit

A larger deposit widens lender choice and can unlock higher income multiples. It also affects the interest rate, which changes monthly repayment affordability.

Existing commitments

Car finance, loans, and other credit commitments reduce net affordability. A £300/month car payment reduces effective borrowing by approximately £18,000–22,000 depending on the lender’s stress test.

Other calculators and tools

Explore more interactive calculators for affordability, tax efficiency, remortgage potential, and lender comparison:

Affordability Deep Dive

Detailed breakdown showing how contract length, gaps, debt, and credit affect your real borrowing power.

Specialist vs Mainstream

Compare specialist day rate lenders vs mainstream banks. See borrowing differences, rate impact, and timeline.

Remortgage Potential

Calculate equity in your property and additional borrowing available. See rate improvement savings.

Tax Efficiency

Compare salary vs dividends vs sole trader. See take-home, tax bill, and optimal structure for your income.

Get an accurate borrowing figure

The table and calculator give you a starting point. An accurate figure needs a specialist broker who knows which lenders will go furthest for your contract type.

Book a free call →