Help- Desperate for a mortgage

pigginsexy

HI, Hopefully someone can lead me in the right direction.

We currently have a mortgage of £108k0 the property is worth approx £125k. The house we want to buy is £150k (probably can get for £145k). We have savings of approx £4k.

My question is... we both have some adverse credit on our files... one of them being Welcome Finance for a car that we no longer use and which we VT'd it in 2006 but they are still chasing me for money.

Where can we get a mortgage from? We can afford the payments every month... we currently earn £24k and £11k and have about £1.4k in tax credits every month... so we can comfortably afford a mortgage up to £1k a month... but its getting a sympathetic lender who will listen to why we have adverse credit, rather than one that just uses a score basis. We have documentation to back up the welcome finance story.

Someone please help. I really dont want to lose this house.

Thanks

x

beecher2

90% LTV, over 3x salary and poor credit - bit of a toxic mix. Is that really the amount of tax credits you get - it is the same sort of money someone on average wage gets.

pigginsexy

Yes.. i have 3 children under the age of 6

ado

To be honest I don't think you have much chance of getting the house.

Its not just the mortgage you need to sort out but all the cost and fees as well. You need to budget for in excess of £1000 for solicitors fees, £1500 stamp duty, £500 to move, £1 - £2,000 estate agents fees, anything up to £750 for a valuation and with higher LTV mortgages you will probably have to pay an arrangement fee and budget for a high interest rate. You will need all your savings and possible more to pay for the cost of the move and do you really want to be without savings if something goes wrong especially if you have three young children? Lastly not all banks will use child benefit/income support as part of their affordability calculations.

Thrugelmir

pigginsexy wrote: »

My question is... we both have some adverse credit on our files... one of them being Welcome Finance for a car that we no longer use and which we VT'd it in 2006 but they are still chasing me for money.

Something you address perhaps?

Senior_Paper_Monitor

On the facts/information given - not a chance of getting the proposed mortage.

Even if it was possible - it would appear to be highly unadvisable !