A Wing & A Prayer??

K1RST1E_2

Hi :hello:

My husband and I are currently renting after selling our shared ownership home last year.

We inherited a large amount of money which we used to pay off outstanding debts (hence being debt free, finally!) and still have £20k in our savings account. We also have a 50% share in a property that is up for sale (inherited with another relative) which we'd use the proceeds from to make up a larger deposit to buy again.

We're happy to keep waiting but just out of curiosity really, what are the chances of finding a mortgage lender who'd take us on??

So we're both debt free and have a combined annual income of £65k. I've been silly in the past and have 5 satisfied defaults, the most recent being January 2012 and the oldest July 2009. My husband has 1 satisfied default from July 2009.

We know that even when we do get a large enough deposit, we're not going to get a mainstream lender but the plan is to get a mortgage through an adverse lender (the one with the best interest rate who'll take us on obviously) and then once the defaults have gone from our credit files, we can apply to a mainstream lender.

In our area and the kind of houses we're looking at are in the region of £170k-£180k so we'd be looking at a 90% LTV.

:rotfl: ... Yes, I'm laughing at myself even asking!

Thanks!

ACG

I think you may need to reduce your expectations or increase your deposit.

I would be expecting a 15% deposit to get this through.

You would probably have been better keeping the money back and putting it towards the deposit rather than clearing the debts.

K1RST1E_2

Thought as much. The disposable income we have after clearing the debts is allowing us to put aside £750 a month towards the deposit and once the other house sells, we'd be looking at a 50% LTV.

We'll keep holding on.

Thanks.

ACG

With a 50% deposit, you might not get high street rates but i would say something semi normal should be achievable.

K1RST1E_2

That's certainly worth waiting for!