Mortgage with defaults - Success story

OliFTH

Hello,

Like many others in here I spent the last few weeks worrying and trawling the forums looking for advice on mortgages with defaults on the credit report. My partner has excellent credit rating and mine not so good. Regardless we approached a broker for a mortgage to buy our first home together.

We were initially rejected by Halifax however the broker than applied to Principality who after a week of holding my breath, have today given us a full offer.

I had 3 defaults (all settled and amounting to less than £200) from around 4-5 years ago. We applied using help to buy so the LTV was 75% and the house value is £264,995. Both of us in good jobs and collectively earn around 70k a year with no outstanding debt other than car finance. We were given a very competitive rate too.

I just wanted to post this to give hope to those in a similar position, all hope is not lost and it certainly is possible to obtain a mortgage. :T

[Deleted User]

Congratulations!

I'd never heard of Principality BS (although have researched quite a few and knocked a lot off my list as I'm outside criteria).

Just had a look into them and added to my list. Sadly they only consider cases on an advised basis, but at least I have a reasonable alternative if Nationwide decline me!!

mortgage1st

I am having a really stressful time or maybe I'm just being to impatient I don't know. My partner and I have used a broker as I have had former credit problems. We've had a decision in principle confirming we can borrow 80%, thankfully we have our deposit of 20% in place.
Our broker obtained this from Bluestone Mortgages. Our broker was extremely confident and everything sounds great and they asked for lots of documents which we sent, we're now patiently waiting on the next steps which we hope will be to book the valuation but I'm driving myself crazy as it just seems to be taking an age and all we're getting from the broker is "there is no update yet"! How long does it usually take? I'm just in a panic and fearing the worst!

ACG

Bluestone are a little slow at the minute due to a few members of their team leaving. I think it is taking around 10 days/10 working days for documents to be assessed for most brokers....

We have a special agreement with them that gives us a quicker turnaround time, but we tend to specialise in the adverse market and were one of the first brokers to use them, so we were made a few promises.

mortgage1st

I feel slightly better after hearing that, my broker has been Ok but sometimes I feel like I!!!8217;m chasing them. I!!!8217;m just so, so nervous about it. My partner has a good credit rating, I do!!!8217;ish with some historic problems and I keep thinking they!!!8217;re just gonna decline our application!
I!!!8217;m taking some comfort we did get a DIP but I just want to get things moving now. Hoping it won!!!8217;t be much longer, I don!!!8217;t think I can take any more of the waiting around!!

OliFTH

Good luck - I hope it works out for you!

We had an AIP with Halifax but they declined us at full application. The same day (24/06) our broker put an application into Principality BS and valuation was done yesterday and full offer received today. It was a very quick turn around with them. I was told they consider any defaults over 3 years old as long as they are settled and do not exceed £500 in total.

mortgage1st

Oh that’s good.

Hopefully we will know more by the end of this week so we can get things moving