mortgage chances?

AngryDog

I have several defaults in my credit history. I will be debt free hopefully in 6 months. This will be by way of partially settled accounts that originally defaulted in 2010 and 2011. By the time me and my partner will be looking for a mortgage, we will have around 5% deposit. Her credit is squeaky clean but mines not in the rudest of health, though the expectation will be that I will have been out of debt for a year when it comes to mortgage time. She will be the main person on the mortgage and will be the joint person.

Based on my credit history at the time of applying, would we be likely to be successful in the application?

I realise this is early to be looking at this, but I like to plan ahead, and if the consensus is a no, then to see if there is anything I can do to help be successful.

Thanks.

ACG

Speak to a broker, you are going to be very limited in who will potentially consider this. A broker will give you the best possible chance of getting it through.

AngryDog

Thanks, doesnt sound too promising then. Is there anything else I can between now and applying for a mortgage to help us? I guess a broker wont be able to offer much advice until I actually am ready to apply.

sulphate

AngryDog wrote: »

Thanks, doesnt sound too promising then. Is there anything else I can between now and applying for a mortgage to help us? I guess a broker wont be able to offer much advice until I actually am ready to apply.

Try and save a bit more if at all possible. 95% mortgages are often only given to those with squeaky clean credit ratings.

AngryDog

sulphate wrote: »

Try and save a bit more if at all possible. 95% mortgages are often only given to those with squeaky clean credit ratings.

That may have to be the answer, just annoyingly means waiting another 12 months. We will be putting £1000-£1200 a month away, over a 12-14 month period, but we would need at least £23000 saved up I reckon as we are looking top line at around £230000 houses.

Thanks for your reply.

ACG

The biggest issue is the deposit. But getting more lenders who would look at it, probably isnt going to happen until the defaults are older or you have a 15% deposit.

I think there are potentially 2 lenders who will consider this at 90 or 95%.

Speak to a broker, if they cant get it through at 95% then you are in no worse position than you are already. If its going to take a year to save up to get you to the next banding, then a credit check now is not going to do any real harm.

AngryDog

I'm not in the position to get a mortgage at all at the moment anyway, so a credit check now while I still have bad debt would be pointless. My noddle rating is 1/5.

ACG

Forget your score, lenders have their own methods or scoring/assessing you.

AngryDog

I see. Well when I am debt free I will speak with a mortgage broker and see what the script is. Thanks.