Adverse Credit Mortgages? 10% deposit...

stephi81

Hi, I wonder if anyone 'in the know' could offer us some advice please?

My partner and I have been renting a property since May 2008, but would now like to buy a house and have about £20,000 deposit to put down. The properties we have been looking at are priced between £185k - £200k.

Both of us have had problems with credit in the past, mine mostly due to opening store cards etc when I was younger, and my other half got into some financial difficulties about 2 years ago. All of our debts are now paid off (mine were settled in 2004/2005 we settled my OH's in 2008 from the sale of his then property). Unfortunately we both have defaults against our names, I have one, and he has two. We are both very strict about paying bills now and maintaining our commitments etc.

My question is - with our deposit (and our defaults ( )how likely is it that we would get a mortgage? I am meeting with an independent mortgage advisor in a couple of days and will take our credit reports with us but I am impatient and wondered if anyone could advise now!?

Many thanks
Steph

Kavanne

My advice? Keep saving until you get to 25%.

beecher2

What sort of salary multiples are you looking at?

Matt1982

10% wont be enough at the moment.

stephi81

Actually we haven't saved this money - my Dad has offered to help me out. To save that much we would be extremely difficult whilst we are renting the home we live in. Moving back with family is not really an option as we have two small children and doubt anyone would have the space to put us all up...

My salary is around £16,000 (I work part-time) and OH's is about £46,000...

Thanks for responses )

Matt1982

Why how much rent are you paying. If you have no debts why can you not save when over £60000 of household income.

Kavanne

On that combined salary why are you having trouble saving? It might help to do this:

http://www.makesenseofcards.com/soacalc.html

To see where it's all going. Honestly, even with 2 kids, I'd be saving loads on that salary!! At the moment I am supporting me and my OH on £19k

stephi81

Well you'd be surprised. Our rent is almost a £1000 each month plus the rest of our outgoings - childcare, utilities, council tax, travel to work, a (personal) loan, etc, there really is not a huge amount left, also my OH gets paid weekly which makes everything a huge juggling act.

stephi81

Anyone out there who would be able to answer my original question please?!

beecher2

You should be able to add to that deposit quite easily, and if you go to the Debt Free Wannabee site, you'll get ideas on where you can shave money off your bills. It isn't easy saving for a deposit, but if you can match what your Dad's given you, you'll be far more likely to get a deal. It also gets you into the way of saving, which is really necessary when you have a mortgage.

Kavanne

It's not going to happen so we've moved on to suggesting how you can make it happen