100% mortgages?

system15000

i have two defaults on my credit report, 1 from 2001 and the other from 2005 both are settled.
my gf has a loan for 4 years and shes paying 226 back a month. we both earn around 980 a month after tax.
we need a 100% mortgage and cant afford a deposit, who the best to go to and more importantly could we get a mortgage for around £100,000?

HelpWhereIcan

Hi Jamie

What are your gross incomes (before tax) - is the 980 each or between you? Most lenders will base the amount you can borrow on your incomes and if you have a joint income of £30k (£15,000 each), you will need a lender who will do more than 3 times joint income. If you have 980 between you, your chances of £100k are very slim and you would need to let an adviser know what income you have from ALL sources.

A lot will depend on how much the defaults were for. Have you obtained a copy of your credit file as this will show the amounts.

It may well be possible to get a 100% lender (I can think of one lender who ignore all defaults , but you will still have to pass their credit score - ie your 'overall profile' will have to fit). You will need to remember that there are not that many lenders who do 100% in the first place, so needing one that will accept your defaults, lend more than 3 x joint income and give 100% will mean that your options are very limited and the rate you pay may not be competitive.

As far as a deposit goes, don't forget that some lenders will allow a deposit paid by a builder and many accept a 'gift from family' such as parents etc, so don't be too proud to accept any help that may be offered as it will have a huge affect on your options. It may also pay to take some time to save for a deposit if neither of the other two are options.

I think you need to have a word with a whole of market broker to ensure that you look at all options. It will help if you take a copy of your credit files with you.

Hope this helps

system15000

i earn 14,631 and my gf earns 13500 before tax.

one default was for 612 and the other for 57 but both are settled.