We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Cant get BTL Mortgage No Credit History

Options
Hi I have be rejected from a BTL mortgage because i haven't got any previous mortgages. I have got a credit card through Nationwide with 3200 allowance on it. I have been using it and paying it off in full each months.

How many months before i will have some history to apply again.

Is there anything else i can do to help the process along.

How long is it before the banks send out data about credit card payments to Experian etc.

Any help will be gratefully received

Danny
«1

Comments

  • BTL lenders normally want you to have a residential mortgage for your own home, are you renting?
    "Dream World" by The B Sharps....describes a lot of the posts in the Loans and Mortgage sections !!!
  • ACG
    ACG Posts: 24,547 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    It sounds like you have been declined because you are not a residential homeowner rather than a lack of credit.

    Speak to a broker as there are a couple of lenders who may do this but not many and I dont think any are on the high street.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Verix
    Verix Posts: 241 Forumite
    Sixth Anniversary 100 Posts Combo Breaker
    The few lenders that do allow first time buyers for BTL's will have minimum income requirements which you have to fit within. What kind of salary are you on?
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Hi thanks so much for the posts. I havent got a residencial property. I have another BTL property which i bought in full worth 87000 but no mortgage history. I am a director of my own business and i put down on my previous application that my salary would be 24000 plus. I feel like i am stuck between a rock and a hard place. Got the desposit even offer to pay more than the 25% normally asked for.

    Thanks

    Danny
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    DannyType1 wrote: »
    I feel like i am stuck between a rock and a hard place.

    A home is equally a good investment. Alternatively top up your pension if you've funds earning you little return.
  • I havent got a pension i am afraid. Already got ISA's etc and i really wanted to get 3 - 5 BTL in my portfolio.
  • PBA
    PBA Posts: 1,521 Forumite
    There is an article in today's Times money section on this exact situation. It mentioned the lenders who are able to help in this scenario, one is definitely Natwest, the other is Clydesdale I think.
  • Thanks for that got some new options to try. I just signed upto Equifax and it said i wasn't on the electoral role and gave me a fair credit score as apposed to excellent with Experian. Are there any other ones i need to check.

    Thanks

    Danny

  • Experian and Equifax are your two biggest but Noddle is free for life and seems just as good to me.

    If you're an experienced landlord with a mortgage free rental property but are not an owner occupier (with or without a mortgage) you should have a few more options than a first time buyer wanting to become a first time landlord.

    Get on the voters roll as that makes a big difference, if your plan is to have a few BTLs you could look at remortgaging the current BTL to serve two purposes, providing mortgage history and allowing you to raise the deposit on new BTL purchases.
  • Hi thanks for the reply. I have had a reply from Equifax and they said the electoral role will be updated early Jan. The remortgage option might be the way to go. How easy is it to get a remortgage against a property that you own in full for a BTL etc. Never done this so feel like a newbie.

    Thanks

    Danny
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 350.9K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.5K Spending & Discounts
  • 243.9K Work, Benefits & Business
  • 598.8K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.2K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.