Mortgage as ex bankrupts?

2012_bride

I know there are a lot of these appearing on here but I'd like your advice on wether anyone has been able to secure a mortgage or brokers that know it would be achievable?

We are both ex bankrupts, April 2008, 6 years has passed and there is no longer anything on our credit reports, both are clean with no late payments etc (scores in high 900s) tho I know these mean nothing. We kept our current mortgage and have no problems, no repossessions.
We have 2 cars on hp £550 a month total, I have a m&s credit card with £2000 limit, no outstanding balance, husband nationwide cc £9000k limit no balances outstanding.
Husband earns £78k year plus approx £20k overtime, he only started in October and was earning £50k previous to this, so we haven't really had much chance to save up!
I'm a sahm due to redundancy, 2 kids & 1 due in September.

Need to move sooner rather than later, house already to small and with new baby I'm not sure where we are all going to fit.

First help to buy equity? Any chance, we have 5% deposit and we could pay fees & stamp duty. New build in an area we love would start around the £300k mark, can't afford a older house in the area as they start at £420k. There's little equity in our house, reason we were able to keep it.

If that's a def no we'd look at a cheaper 2nd hand home in a not so good area, would mean changing schools etc, have to stay pretty local for oh job, still would be £220-£240k, we could have a 10% deposit as wouldn't be paying the same stamp duty.

We don't really want to rent for to long while we save for a larger deposit as rental is very high in our area and goes quick, plus with 3 children and 2 dogs we will be limited to what & where we would be accepted.

I bank with Halifax & oh banks with Nationwide, we have a meeting with a halifax mortgage advisor but not sure if that will be a waste of her & our time?

Thrugelmir

Is your current mortgage interest only?

2012_bride

Yes it is, we bought right at the top of the market and had a fair bit of negative equity plus a secured loan that we are paying, but thought at the time to keep the house rather than have it repossessed.
We have been overpaying to get the balance down and now have about £10k equity but most will be taken up with the fees.

ACG

Those bankruptcies are quite old, so I would say theoretically getting a mortgage should be fine.

The problem is that you want a 95% mortgage...

I think really you need to sit down with a broker. I would not dismiss it, but I would say it could be tricky.

2012_bride

ACG wrote: »

Those bankruptcies are quite old, so I would say theoretically getting a mortgage should be fine.

The problem is that you want a 95% mortgage...

I think really you need to sit down with a broker. I would not dismiss it, but I would say it could be tricky.

Thanks, glad to know it's not a definite NO then! In an ideal situation we would save for longer but with the baby on the way we need to move sooner rather than later.
That's why we would like the equity loan route, pay our 5% plus fees, 20% loan and then £225k mortgage.
We are going to try and save as much as we can, and if halifax say no to htb then hopefully we will have at least a 10% deposit to put down on a cheaper home.
We are meeting with their adviser on 11th so will know more then, and I have also contacted L & C brokers, but not heard back from them yet

Thanks