First time buyers?

Pugsrus

Hello apologies this may be long and confusing! We are looking at buying a house, currently saving for a deposit but there is a history.... Take a seat and grab a cuppa !!!128521;
In 2005 we bought our first house with a 100% mortgage, fast forward to 2009, 1.5 children later and a few financial issues = bankruptcy and house repossession for us both. Since then we have been renting 7 years in one house and almost 2 in another no missed payments and steadily building up our credit rating, changed jobs and increased our income. We've had a couple of holidays but now need and want to get back into the housing ladder.
We have been looking at new builds to hopefully make buying a bit easier. Ideally we will be aiming for 5% deposit, 20%help to buy and 75%mortgage. We've already received a Dip but I am aware that it could be reversed easily once companies hear about our history.
So what I am asking is if anyone has been in our situation and has been able to buy again without a massive deposit and whether we would be eligible for help to buy. I'm aware we're not really first time buyers but we're not remortgaging or moving house so we seem to be in the wilderness whenever I'm looking at mortgages and guidance.
Any advice welcome, if we're never going to be able to own again I'd rather just know now so we can enjoy life a bit! :rotfl:
I am slightly worried and embarrassed about speaking about our history face to face so I was hoping you knowledgeable people may be able to help!

HampshireH

Don't be worried about speaking to someone. A good broker should be able to offer you advice tailored to your circumstances & support you through the process.

Pugsrus

Thank you. We will have to speak to someone I think ASAP. Just having an idea of whether we would be accepted would be good. It's all so unnerving! !!!55357;!!!56863;

Pugsrus

So I spoke to L&C today about a mortgage and they found that Halifax would be good for us and that they would loan us what we need.... L&C asked if they could do a credit score check with them and we failed it. I'm gutted I have to say. Our Credit scores are pretty good (Experian = excellent and Good) we have no missed payments. The only thing I can think is it's because I have been moving money around with savings accounts and balanced transferred my credit cards (2 total £1600) to a0% card.
No idea what to do currently, it looks like a highstreet mortgage is unachievable and we will need a specialist company with a high rate. It's hilarious we are private renting - mortgage would be around the same price and we are saving almost a full months rent/mortgage at the same time.
:-( feeling a beaten by it all if i am honest.
9 years after bankruptcy i thought we would be able to get on a bit more but it seems like we are still hideous awful people. We had to get a guarantor for this rental property even with being in the last one and no isses for 7 years. Will it ever get any better?

pinkshoes

Pugsrus wrote: »

So I spoke to L&C today about a mortgage and they found that Halifax would be good for us and that they would loan us what we need.... L&C asked if they could do a credit score check with them and we failed it. I'm gutted I have to say. Our Credit scores are pretty good (Experian = excellent and Good) we have no missed payments. The only thing I can think is it's because I have been moving money around with savings accounts and balanced transferred my credit cards (2 total £1600) to a0% card.
No idea what to do currently, it looks like a highstreet mortgage is unachievable and we will need a specialist company with a high rate. It's hilarious we are private renting - mortgage would be around the same price and we are saving almost a full months rent/mortgage at the same time.
:-( feeling a beaten by it all if i am honest.
9 years after bankruptcy i thought we would be able to get on a bit more but it seems like we are still hideous awful people. We had to get a guarantor for this rental property even with being in the last one and no isses for 7 years. Will it ever get any better?

I think you will need to get saving. A 5% deposit isn't going to be enough with your history.

How much deposit do you actually have once you have paid off the credit card?

You also chose to take two holidays instead of putting money towards a deposit, so need to consider your priorities.

KL0001

I agree, I suspect your going to need a deposit larger than 5%. The LTV will be too high and you!!!8217;ll struggle to get a good mortgage rate. Get your credit card debt cleared, and look at ways to reduce your monthly outgoings to as minimum as possible. Do you have car loans? Our broker said these were a big factor in a lot of people!!!8217;s affordibility.

Get yourself a good broker, being a non-standard borrower because of your credit history, a broker will be really useful, also give you a good idea about what you can realistically borrow.