Subprime mortgage help.

MILFORD

Hello, I have some adverse credit and am looking to get a mortgage...


I have some defaults on my file - basically I had a problem with the banks complaints have been lodged but nothing has beend one about it.. however they have not chased me for it as they know they are in the wrong.

ANYWAY, I am looking to get a mortgage but wondered if someone could help me with who handles adverse credit mortgages or if they even exist anymore?

Any HELP would be appreciated.

Dave_Ham

Hi Milford,

Caught me just in time...

You need to be more specific though, I will need to know whether you have CCJ's and/or defaults - when they were lodged, if they have been paid/settled

Then are you a homeowner or a buyer - if so what deposit/equity?

Adverse credit does not preclude you from being able to achieve a mortgage, but deposit is critical and your ability to achieve finance may be dependent upon how good the broker you use is..

All the best

Conrad

If the defaults are for very small sums and a while back, you might be able to achieve an 85% mortgage subject to how good your application is. I have to say though that in this climate typically lenders are limiting to 75%.

MILFORD

Hi, well the house is valued just recently at 290,000 i am buying it for 245,000 and looking for a 200k mortgage.

I have 3 defaults well me and my partner there are 2 criedt cards and 1 loan. all with the same bank. they are over 2 yrs in default.

MILFORD

I spoke to a broker who basically laughed at me this morning and told me subprime doesn't exist anymore.

Gary123456790

Are they settled now or still showing as default on your credit file for last month?

Gary.

Dave_Ham

Unless you can get to a 20% deposit then this will have no chance in my opinion.

If at 20% deposit would depend upon exactly when the defaults were registered, how much and if satisfied...

MILFORD

OK thanks and yes I have a 43 percent deposit.

Thrugelmir

MILFORD wrote: »

I have 3 defaults well me and my partner there are 2 criedt cards and 1 loan. all with the same bank. they are over 2 yrs in default.

Not surprised the broker laughed at you. You can argue all you like but the defaults are blotting your credit record. Mainstream lenders won't be willing to take the risk.

GMS

MILFORD wrote: »

OK thanks and yes I have a 43 percent deposit.

If you are buying for 245k and wanting a 200k mortgage then you have a deposit of around 18.5% unless you are buying from a close family member. Usual calculations would be based on the LOWER of the purchase price OR valuation.

When exactly were the defaults and for how much?