Does the fear ever get easier to deal with?!

hieveryone

Hi all

Last year - looking at purchasing a new build.
- 1st mortgage broker was terrible, got declined at AIP stage with main lender.
- 2nd mortgage broker better, got accepted AIP with Precise Mortgages.
- Ended up pulling out of sale.


There are now some new builds being built and once again my partner is champing at the bit to look at them/investigate moving. I am worried sick all over again about moving and just want to put it to the back of my mind. Am I in a better position now?

- Default due to fall off report September or November 2014. (date lodged and settled)
- 1 late payment CC showing July 2012
- Couple of late payments - overdraft from 2007
- Arrangement to Pay - overdraft - finished paying Jan 2010.

Credit agreements now are all at the point where they are paid off every month. I have a small amount remaining on a personal loan (£600) which will be paid off ASAP.


Am I in a much better position now to think about going ahead with a mortgage? We will have between 15-20% deposit.

Thanks for reading.

ACG

There will be a couple of lenders.

Look at this logically. If you get a mortgage happy days, if you dont you are in the same position as you are at the minute...

Is it worth worrying about?

I would be pretty confident you can get a mortgage based on the above but you are going to struggle with high street lenders.

hieveryone

ACG wrote: »

There will be a couple of lenders.

Look at this logically. If you get a mortgage happy days, if you dont you are in the same position as you are at the minute...

Is it worth worrying about?

I would be pretty confident you can get a mortgage based on the above but you are going to struggle with high street lenders.

Ordinarily, I would say no, it's not.

However, with the new builds, we will have to sell our house first before being able to secure a mortgage for a new house.

Therefore, my worry is that we will sell this house and then be rejected for a mortgage, leaving us high and dry! :eek:

What can I do to clean up my credit file even more, if possible?

ACG

Why do you have to do that? Is that a stipulation from the builder?
What happens if you decide to rent it out?

There isnt much you can do, just make payments on time.

hieveryone

ACG wrote: »

Why do you have to do that? Is that a stipulation from the builder?
What happens if you decide to rent it out?

There isnt much you can do, just make payments on time.

Yes, stipulation from builder, as houses won't be ready until x amount of months in advance but they want everything signed and sealed before that.

I do always make payments on time, and pay cc and Next account in full. The Barclaycard payment was a direct debit fail which I paid the same day. I have messaged them asking if it can possibly be removed.

I am concerned re: the arrangement to pay. Although the default drops off soon, would this still cause a major heartache for obtaining a mortgage?

Thanks

ACG

Arrangement to pays surprsingly are worse the defaults.

As I said, this should be doable with help from a broker.

I dont see how they can insist your house is sold when the new one will not be built for however long :S - but I have only done 2 new builds so im not the most experienced in this field.

hieveryone

ACG wrote: »

Arrangement to pays surprsingly are worse the defaults.

As I said, this should be doable with help from a broker.

I dont see how they can insist your house is sold when the new one will not be built for however long :S - but I have only done 2 new builds so im not the most experienced in this field.

Wish I'd known that at the time! :eek: I paid it dutifully for over a year to get it paid off for a really stupid error whilst I was out of the country :(

They do an assisted move whereby they sell your house for no fee as long as you use them. It is appealing as 1. they are one of the best agents in this area and 2. the no fees!

Thrugelmir

Why not clear your debts from savings. Totally clear your slate.

hieveryone

Thrugelmir wrote: »

Why not clear your debts from savings. Totally clear your slate.

The small remainder of the loan will be paid off either next month or the following. My partner and I save jointly and I wouldn't feel right using his money to pay a debt of mines.

I have no other debt apart from student loan, and my partner has a personal loan for my car. I will start overpaying the car loan when I have paid off this one.

We earn a good living between us - approx. £90k yearly and so I feel we are not in a bad position really. Just the other usual things like mobile contracts etc.

Edited: I realise my previous message read as though I am 'paying my debts' every month. What I meant was, any spend on a credit agreement i.e 'food/diesel credit card' or 'Next Directory' is paid off in FULL every month.