Post Bankruptcy Mortgage

Macdog69

Hi I am looking for advice, I have been discharged since 2013, and am considering trying to get a mortgage again. I have looked around and have seen a myriad of brokers, could anyone tell me if they had any success with firms like the online mortgage advisor or would I be better waiting till my 6 year point. For info I would have a 10% deposit, and my credit file has been cleaned up apart from the bankruptcy, also I voluntarily had my previous house repossessed during as part of my bankruptcy. Will be grateful for any comments/advice thanks

alltaken

I'm not a mortgage adviser, but have an interest in mortgaging in a few years.

From what I have seen 10% deposit with a repossession having happened is very unlikely at 3 years post discharge - your credit score likely increases as you edge ever closer to the 6 years since declared bankrupt, but it's unlikely any of the mainstream lenders such as YBS/Clydesdale and Nationwide would accept 10% with the repossession IMO (Both lend at 36 months post discharge).

You could try a broker and they may have a lender who can be more accommodating. I could be completely wrong, but evidence on these boards points to 10% being too low with the repossession and the time period you are currently in since discharge.

This is taken from the General Nationwide criteria:

* Applicants who have been discharged for at least 3 years can be considered.
* Normally there should be no history of a repossession, either voluntary or enforced

http://www.nationwide-intermediary.co.uk/lendingcriteria/general/general

Once you get to 6 years I hear the option vastly increase.

Macdog69

Thanks for this, it is very re assuring to be able to draw on the experience of others, looks like time will be the great healer

ACG

Tricky one to answer this.
There are potentially 3-4 lenders who you fit criteria with, but whether or not you will pass the credit check is a different kettle of fish.

It is definitely one for a broker to help with but I would not rule it out. Chances are if you are able to get a mortgage now it will be at normal rates as there are no adverse lenders at 90% who will accept ex bankrupts so soon...so the good news is if you can get a mortgage, you will be paying normal/normalish rates.

Macdog69

Thanks very much ACG, You are right this is a tricky one, it gets even more complicated as although I did go through a voluntary repossession, with my residential mortgage, I still managed to retain a property and bought out the interest from the Trustee, for another property which was previously rented out to a family member and the payment for this have been maintained throughout. Trouble is I do not know how to proceed, with that property, as it has no equity, so I do not know if it counts as a positive or a negative credit score wise? Also I have just found out that the mortgage company (Ocelot Resolutions) does not report to Equifax, so it does not show as a current mortgage. Any ideas what to do for best?

alltaken

Do you have anything to lose but a slight dent, in applying at this stage? If not you are just waiting anyway?

Macdog69

Thanks Looks like I need to find a decent broker and take the plunge

alltaken

Be sure to let us know if you can.

ACG

I think you do need to sit down with a broker to be honest.

Let them get everything down on paper and then do the research. I do a lot of mortgages for people with adverse so it is not very often I sit on the fence but it really is difficult to call. I would not want to say it can not be done and then you just leave it and miss out, but likewise I would not want to say it can be done and build your hopes up.