Want to buy a house but past credit bad

Paulinesun

Hi
I am hoping someone can help me. I sold my house after my husband died and am now renting. The house still had money owing so have cleared that and also cleared all my debts but my credit file is still showing as bad. I was hoping to buy a little house and have a good deposit but have applied and been turned down twice by 2 companies. I went through a mortgage advisor at a local estate agents and thought he would be able to sort something out. He says he may be able to still get me a mortgage deal but will be high interest. Any advice would be most helpful please.

Dave_Ham

Hi there,

Firstly, have you both your Experian and Equifax credit files. If so, what is showing on there as bad and importantly the dates.

Forget the estate agent brokers, they are usually the least experienced and have little knowledge of adverse credit mortgages.

Few extra questions, how much deposit, approximate purchase price, income and age would be useful.

With a good deposit, there will always be a solution. The solution cost will determined by how good the mortgage broker is...

kaylz39

Have the 2 who declined you explained the reasons for this? Depending on your age, lenders may think you wont have enough working years left to repay the full loan.

If this isn't the case, you may have no other option but to go for the higher interest option.

We were in a similar option when we bought our first home. We were both 20 and had no past credit, so no way of scoring us. I was a student so had a tiny income so our only option was to go for a high interest offer from a lender known for those having problems applying.

But at the end of the day someone was accepting us so we couldnt be picky...good luck!

Paulinesun

Hi and thankyou for your replies. I have checked my credit reports and now brought everything up to date. So the score has now gone up to fair! I have a deposit of about £30,000 and hoping for repayments as low as possible at least lower than my current monthly rent payments! I am seeing an advisor who says he is independant of the building society where he has his office who is trying to get me a mortgage. I dont know anything about mortgages and have heard people say get an independant one. where do I go please. Any advice would be most grateful. thankyou

GMS

Do your reports show any defaults, CCJ's and/or missed payments? Bringing all up to date will help but won't detract from what was there.

If the adviser you are seeing is based in a building society then make sure he is not only recommending the products of the society.

Have a chat with a non tied broker. Recommendations are best, or try calling a few and having a chat.

Most wouldnt charge for an initial consultation

Paulinesun

Thankyou where do I look for an independant advisor. sorry never bought a house before.