Large Default - Mortgage Lender Required!!

Adraym

Hi All,

We have found a house we love and put an offer in and been accepted, we went to proceed with our Agreement in Principle with Nationwide and got declined. Went with Broker and got declined with TSB

Long story short, my Experian report is perfect however, my Equifax has a £8800 Default in June from Ford, this has been paid off in full, annoyingly (my fault) I wasn’t aware (through ignorance) that I had defaulted. We moved house and I never changed my HP address with Ford 😩. More to the story but that’s the basics and I don’t need to moan about Ford and refusing Warranty work on a 2 year old car.

We have a joint income of £65k, £5k of CC debt (no missed payments) out of £15k limit, No other outgoings other than rent, council tax, utilities, etc.

£30k for deposit and fees, but it would seem this isn’t enough with my default. We have been offered a 20k gift from my in laws which minus £4K for fees and LBTT leaves us £46k deposit on a £260k purchase. I also own a property which will be sold in the next 12 months but not possible to sell in the quick sale needed to buy the house.

Please can someone save my sanity (and marriage) and tell me there is hope in finding a mortgage from a subprime lender and details if you can please! I don’t care if we have to pay more per month for a few years, as long as it gets us our house.

Thank you for reading

ACG

I dont think you will get this through on the high street.
The default is too much and too recent.

Off the top of my head, I think you are looking at a 20% deposit and a rate of around 4-5%.

What is LBTT?

Adraym

Scotland’s new Stamp Duty - Land and Buildings Transaction Tax (off the top of my head)

Yeah, high street lenders are well off the mark for us now but I’d love to hear from people who have ended up with a specialist lender and details of them.

We have gone to Simply Adverse Mortgage Broker who specialise in this sort of thing but the weekend wait is killing me as I just want to know there is light at the end of the tunnel

Thrugelmir

Adraym wrote: »

I also own a property which will be sold in the next 12 months but not possible to sell in the quick sale needed to buy the house.

Mortgage free? Let? Rental Income?

Adraym

Mortgaged with 35-40k equity, let out but little to no profit.

We became accidental landlords when the family outgrew a 2 bed and couldn’t sell in a new development against all the builders deals so ended up renting it out and renting ourselves

ACG

Thanks. Scotland will make it even more difficult as there are fewer lenders up there in the specialist market.

I know the owner of Simply, your in good hands.

Adraym

Thanks.

The guy I spoke to at Simpy said there are lenders out there that will lend to anyone but it’s just at what cost.

ACG

Actually, just thinking about it, there is potentially a lender who will do it at 85%, but rates are likely to be around the 6% mark.

They have a lot more to go off than I do, so they may have other thoughts.

Adraym

What lender is that, if you don’t mind me asking?

Westminster

Adraym wrote: »

What lender is that, if you don’t mind me asking?

You are unlikely to get a broker on here naming (possibly construed as recommending) a lender.

I’ve used simply twice (the first time when I had recently cleared a DMP) and again despite having clean record by that point as the service was so good first time.

Try to relax and they will sort you out 👍

ACG

As above, im not allowed to say from a regulatory perspective.