letting advice needed please

Tuscan

here a quick run down of our situation

the wife and I got into debt a few years ago and took out a debt plan with the cccs, although most lenders agreed it one didnt and i got a ccj for 27k.

anyway never missed a payment on anything since..


we have a house with around 100k-120k equity in it, we want to move out to a rural area and reduce our mortgage and pay off all debts, problem is theres not much hope of us getting another mortgage at the moment with the bad credit and current climate even with a 50%+ deposit..

So we are thinking sell up pay off every penny we owe and stick 80k in the bank, then rent for a few years as we rebuild our credit status while saving and adding to the 80k then 2-5 years buy again.

what i need to know is renting with a ccj etc, as said we will have a lot of cash in the bank and showing on statements etc and all debts will be settled but will still show past history on credit search.

we would have no problem paying a year up front to the landlord or a large deposit etc.

we have never missed a mortgage payment in 10 yrs £500 or a dmp payment in 5yrs £420. ccj is 2yrs old again never missed a payment and have always over paid £250.


im 42 married and have a 2yr old daughter and have a good income

clutton_2

ccjs are a LL's worst nightmare - if i were to consider you as a trenant, then i would need to see bank statements for several months, and proof of what you are saying - ie documentary proof of no missed payments, etc i might even need a guarantor

having said that a years rent upfront is a good inducement.....

the LL/Tenant relatoinship is all about communications and honesty - a private landlord is more likely to accept such arrangements than tenancies through letting agents

Tuscan

i would have no problems showing bank statements, not been over drawn in years and full proof of never missed mortgage or debt payments etc and of debts being paid in full on house completion.

and as said could pay a year or more up front or a year and a big deposit etc or what ever they required, and most recent bank statement showing around 80k+ from house sale

if any LL was to meet us they would see we are genuine decent folk, just had a blip 5yrs ago and took measures to sort it rather than bury our heads, was perfect before and have been since.

thanks

sjcollett

I would agree with Clutton. In the past when we have assisted people with adverse credit, it has been because the tenant has been completely open and honest and provided evidence of payments and has the ability to pay extra in advance. That advance payment then helps the landlord mitigate the future risk.

franklee

Don't offer a year upfront you will be left high and dry should the landlord go under. I'd suggest you offer no more then six months upfront but only if you have seen written proof that the landlord has consent to let from his lender, or no mortgage.

Alternatives are to lodge the money with a safe third party like a solicitor who then hands it to the landlord monthly.

Or you could pay say six months upfront and then monthly keeping an agreed number of months ahead.

Tuscan

franklee wrote: »

Don't offer a year upfront you will be left high and dry should the landlord go under. I'd suggest you offer no more then six months upfront but only if you have seen written proof that the landlord has consent to let from his lender, or no mortgage.

Alternatives are to lodge the money with a safe third party like a solicitor who then hands it to the landlord monthly.

Or you could pay say six months upfront and then monthly keeping an agreed number of months ahead.

yes we had thought that, there would have to be some sort of provision in place to safe guard againts the LL going under etc and taking our money with him.

was also thinking pay 6 months up front then start paying monthly from day one so LL would always be 6 months ahead.

we just want to get all the debts gone and wipe the slate clean, we only got the CCJ because Natwest would not give us a inch and made it clear they wanted to get a charge on our house hence they wanted to go to court and not come to a agreement to pay the debt off.

Thing is i went to court and said my bit to the Judge, she made it very clear that she thought Natwest were being very unreasonalble and she refused to grant anything they wanted and agreed a monthly payment that was affordable to me and not 3 time the amount that they wanted knowing full well i couldnt pay it so they would be able to get my house. but as it went to court the CCJ had to be granted.

Natwest are now punishing me with £200 a month in interest, however at the end of the day we got our self's in this mess it was no one else's fault so cant complain, we are just lucky we have such a lot of equity in our home so are able to get our self's out of it and still have a very good deposit to start again soon as we can get our credit file improved and another mortgage offered to us, hence why i think we will have to rent for a few years to get in a position to get a mortgage offer...

thanks

Fire_Fox

Tuscan wrote: »

yes we had thought that, there would have to be some sort of provision in place to safe guard againts the LL going under etc and taking our money with him.

was also thinking pay 6 months up front then start paying monthly from day one so LL would always be 6 months ahead.

we just want to get all the debts gone and wipe the slate clean, we only got the CCJ because Natwest would not give us a inch and made it clear they wanted to get a charge on our house hence they wanted to go to court and not come to a agreement to pay the debt off.

thanks

If you have a tenancy agreement AND the landlord has consent to let you are only protected for the period of the AST. So paying six months ahead is fine, but paying month seven in month one leaves you open to losses. You might offer to pay six months ahead plus a larger deposit, say two months, as this money will be protected in a scheme and not in the landlord's possession (make sure it is protected tho!).

Tuscan

Yes thanks, its early days so have a lot to look into and will make sure what ever we have to do is above board and safe for both party's..