Looking for a small Mortgage with a bad credit score!!

wmsheep

help needed here please

Myself and my partner are buying our current residence off a family member (we are currently renting it off them). We must buy as they are moving and need the money for their new property.

OK, I will admit that my credit score could be a load better - I have a defaulted loan and a standing order/monthly bill showing as defaulted (both are paid off now - latest one was paid off in Jan, but I know it will be on my report for years to come)

Credit cards - none

Wages going into bank - Yes, on a regular basis.


Problem is, I am after a small mortgage - the property is being sold to us for something like £35K (am living up North, so it's great for inexpensive housing) - but with a little help from family and a bit of savings, we are able to get that down to less than £29750 (85%) - great, till you find out that the minimum that lenders are prepared to lend these days is £40000.

So, with having a low credit score (819) and not wanting to borrow enough - I'm jiggered.

Any suggestions??

Mark

Dave_Ham

When are the defaults dated?

I mean the date of registration?

wmsheep

had 1 default registered 11/2012 - this was finally settled in 01/2015

had 2nd default registered 11/2011 - this was settled 01/2013

libf

My mortgage was definitely less than £40k when I took it out, but my flat is shared ownership so not sure if that affects it.

Dave_Ham

Does your other half earn enough for this mortgage in sole name?

The mix of variables here does make it unlikely in a joint application, not necessarily impossible but impossible to tell without full disclosure and some time spent on it..

Best of luck

wmsheep

Dave_Ham wrote: »

Does your other half earn enough for this mortgage in sole name?

The mix of variables here does make it unlikely in a joint application, not necessarily impossible but impossible to tell without full disclosure and some time spent on it..

Best of luck

Sadly, my partner has not been employed by the same employer for long enough, so her going solo is not an option at the moment.


ta for all the help Dave.

Dave_Ham

You may be ruling that out a bit early. From limited information provided, I would say more chance of other half sole name than joint..

Not every lender worries about length of employment

interiorlulu

I'm the partner in this situation

I'm in temporary employment, which (understandably) most Mortgage companies aren't too keen on.

It's a temp to permanent position though, so I could end up with a permanent position in a couple of months (but still have a 3 month probation period with my "new" employer!).

Dave_Ham

Depends upon the absolute detail including type of employment, previous employment detail and contract.

Well worth checking in detail with a broker and still fancy this has more scope than pursuing a joint mortgage as it currently stands

interiorlulu

Brill, thanks I am looking to call one tomorrow and see how we get on. There's a whole of market one I've been recommended locally