FTB - Mortgage Advice

Monst3r

Hello all.

Firstly I apologise for the extremely tedious thread title, but advice is really what I need.

My girlfriend and I are looking into buying a property together, this would be our first property.

I, regretably have debt on Credit cards (totalling £10k) and a small £65 odd a month loan repayment to Northern Rock. (I've realised the error of my ways, believe me). I have a number of late payments on my credit file, but have been on time for the last 8 months. My lovely girlfriend on the other hand is a model of responsibility and has no such issues.

Collectively we earn before tax, £75k (£40k+£35k). I'm incredibly lucky as the OH has managed to save enough money for a hefty deposit in the region of £40-£50k and is willing to put down as a deposit for the both of us.

Would we, collectively, be considered for a mortgage? I know that my record isn't too good from a credit check point of view, but in peoples personal/professional experience would be worthy of a mortgage together?

Any advice would be greatly appreciated.

Monst3r

yelf

I doubt they will touch you - maybe just do it in her name?

GMS

How much are you looking to borrow?

There may be options for you with missed payments but could be restricted Loan to Value and slightly higher rates.

Monst3r

Thank you for the response yelf.

That is what I feared.

Say we only required a mortgage for £120k (rest is deposit), would that still be an issue?

On the other hand, say I didn't have any debt, would I still struggle to get a joint mortgage?

Monst3r

Monst3r

GMS - thank you also for reply. We could be looking at a mortgage for £120k.

GMS

With a 50k deposit there is a chance. It all depends on how your credit score is.

Do you have any defaults or CCJ's?

Have a chat with a 'Whole of Market' broker. If you need a lender who will accomodate missed payments you will not be able to access them directly.

whatyadoinsucka

£40k deposit on £120k mortgage, i'd say if your jobs are relatively stable ie you've worked for the same company over a year, you would easily get the mortgage if you had a 'clean' repayment history..

I'd advise you to go see a hsbc mortgage advisor they offer good rates (amongst the best for FTB with 10%+ deposits) and they will tell you how it is, without any speculation.

Monst3r

I have some late payments, but I haven't defaulted or had any CCJ's.

Thanks you for your advice GMS, much appreciated.

Monst3r

Thank you whatyoudoinsuck also, I'll make an appointment with HSBC.

GMS

HSBC will not touch you with missed payments.

Waste of a trip, unless you can do it in girlfriend's name only. Go to HSBC website and check affordability calculator. Unlikely to get 120k on 35k wages though.

Read through the forum, HSBC are declining plenty of applicants without missed payments, never mind with them.

My advice, unbiased is to see a broker. It is important to apply to the correct lender rather than just the cheapest.

AndersLimpar_2

Your better off booking a meeting with a whole of market broker, rather than just HSBC imo. Save yourself the time of meeting both when the broker can do it all for you.

The only reason to go direct is if you have only a 10% deposit as brokers cannot get the best deals in that market at the moment. Anything above that and broker are the way, especially when you have issue with credit history.

EDIT: What GMS said!