Mortgages for people with awful credit history

Shirl63

Hi - NRAM are changing our mortgage to a repayment which is doubling our payments and we can't afford them. We are considering selling our home and renting, but our home is £285K and the mortgage is £210K. However due to adverse credit history when my husband was self employed we can't get a mainstream mortgage. We don't want to b cheated but are there any good guys out there who lend to people like us? Tried the Mortgage Rescue Scheme but government wouldn't fund the extra £85K. Worked all our lives but nothing on offer to us. Any practical advise would be welcomexx

kingstreet

Sell, bank your £75k equity and buy again when the credit history is clean.

If you go to an adverse credit specialist, you probably won't have enough equity to cover your fees and costs and the massive deposit you'll need.

I can't see you being able to buy for more than £200k if you have serious adverse.

You might as well talk to a whole market broker and get it from the horse's mouth, based on an appraisal of your circumstances not possible on here...

claret_mike

What do you class as awful? Some would say their files were awful when they got a default, some may feel a missed payment 4 years ago as awful and some may see a ccj as the point it becomes awful

I would get copies of you credit files from experian, equifax and noodle. Take them to a local independent mortgage broker and have a chat with them to see what they can offer.

You can consider the facts put in front of you etc but it may be better for you to do as suggested above and bank and wait for things to drop off, get good clean rental payment history etc and you will be better positioned.

Shirl63

Thanks both - might just stay at renting and put money away for children and rainy day!!

Thrugelmir

Shirl63 wrote: »

Hi - NRAM are changing our mortgage to a repayment which is doubling our payments and we can't afford them.

Then this should hammer home the reality of your situation.

Sell the property and buy something more affordable.

You've got £75k of equity which is a good starting point. Far better than a lot of people.