Low Credit Score - Want 100% mortgage

kiesha

I am trying to get a joint mortgage with my mother who already has a property, she has high income and only 1 late payment on her credit report, which she is going to take up with the company

i have a few late payments over the years.

We have been turned down with Northern Rock & Bank of Ireland for 100% mortgages.

We don't have a deposit - but we want to get a mortgage.

is there anything we can do? Is there any lender out there, that might help us out?

dwight-van-man

Hi, re the Northern Rock decline - although NR 100% credit scoring is tough, a lot of the assessment is based on how you deal with other lender's credit, so although a couple of late payments doesn't help, if the rest of the case is strong, it mught not necessarily be this which has caused the decline. NR policy states that all applicants to the mortgage must live in the property so if the house was just for you and your mother was effectively covering the shortfall in your income, the case would decline on policy. Also, if you are going to live in the house together, policy states that the max LTV available when there is a let property in the background is 95%, so again, you would get a decline on policy grounds. Both these points can be challenged if for example, your mother has a high income/low mortgage, you are in a job with prospects for rapid advancement etc etc. If you went through a broker, get him/her to speak to their BDM and, firstly check out the reasons for the decline, secondly (if I'm right) get them to make a case to the underwriters. They've got to have a good reason to overturn the decline, but they will look at a strong case. If you went direct, you could try asking for your case to be appealled but I think you'd be wasting your time.

In general terms, keep your credit sweet and get on the voters roll if you arn't already.