1st Time Buyer, CCJs, Realistic Advice Needed

cardboardsky

Hello,

As per the title, I'm a first time buyer with 2 ccjs, hoping to get a mortgage to buy my mums house with my partner. She needs to move so it's pretty much now or never to grab this property which is perfect for us.

combined income 49k
outstanding debt:
4k (mine), 15.5k (partner), 8k car finance (partner)
2 defaults (mine), although regular arranged payments are being maintained via Payplan
2 ccjs (mine) despite the regular arranged payments being made
We can scrape together a 10% deposit on the 120k property

Seriously, what are our chances and at what rate?
Any thoughts or advice will be gratefully received

many thanks indeed

herbiesjp

Not very likely with a 10% deposit I'm afraid - and the bad credit history listed

robin_banks

12k deposit, 27k debt.

TBH I don't think you've a cat in hells chance of getting a mortgage, you'll need to speak to a specialist lender, expect to pay (if you get a mortgage) a huge arrangment fee and a very high interest rate.

cardboardsky

thanks for the replies. I should add ccj 1 is from early 2006, ccj2 is mid 2007.

Does "not very likely" translate to "possible, but at a high rate?"

robin_banks

Are the ccj's satisfied, and if they are for small amounts you might get a mortgage, but still expect to pay a huge arrangement fee (I'd allow 3k).

cardboardsky

They are not. One was 400, one 3k, despite making agreed payments in full and on time after defaulting.

thanks again

robin_banks

TBH I'll reaslly think you're going to struggle. There's a few IFA's post on here, they do disclose this on thier sig at the bottom, they'll know more than a lay person, but don't hold your breath.

cardboardsky

what about the option for it to be a single applicant. Her history is flawless, just a large amount of debt (relatively)
with her income only 25k are there lenders out there that would go up to 108k?

robin_banks

You're looking at an income multiplier of 4.32, most lenders would go to 3.75, 95k max.

herbiesjp

You are asking all these questions here hoping for a yes or no answer - when it will need a lot more information being given to an adviser to look into your scenario and come back with some options if any

Based on the details you have posted, you would be best placed going to a whole of market adviser to see what they couuld find for you, if anything

clearing_out_my_pockets

cardboardsky wrote: »

what about the option for it to be a single applicant. Her history is flawless, just a large amount of debt (relatively)
with her income only 25k are there lenders out there that would go up to 108k?

I've been in a similar situation to this. My ex partner had two CCJs and defaults on his file. We tried everywhere for mortgage offers and everywhere said no. Flat out. Wouldn't even consider it. This was in 2003 and the CCJs were 3 years old at the time.

With the possibility of your partner getting a single mortgage, most lenders will look at the debt she has and deduct her monthly committments from the amount they'd lend (or something like that...) There is no way she'd get £108k with that level of debt.