First time buyer with poor credit score

meganjoanne

Hello all,

Newbie here

I’m a 34 year old divorcee, single parent of 1, currently living with my parents. I moved back in with them 3 years ago following a serious car accident which left me unable to manage on my own, both physically with my injuries, and financially due to being self employed and therefore having a very low income while off sick for 6 months (I was renting at the time).
Luckily I am back to full health now, but am still at my parents house. Before this accident, I had been self employed for 10 years with fluctuating, seasonal income, After my divorce I had made some poor business decisions, did some silly comfort spending and holidays I couldn’t really afford, and generally using credit cards and catalogues to live off because at times my income was low. This got out of control and eventually I went on to a debt management plan with Stepchange. I have theee more payments and everything will be cleared after 6 years. My accident also prompted some major life changes and I went back to college and re-trained as a teaching assistant. I am now permanently employed in a full time job on roughly 19k per year. I am starting uni in January on a part time distance learning PGCE. This will take one year. I will still be working full time while I do this, bar two 8 week periods of unpaid leave for teaching practice. I will also be entitled to a maintenance grant through Student Finance, though this amount has not been confirmed yet as my application is still processing. Student finance will also pay my tuition fees as it’s teacher training. I don’t consider student loans to be bad debt and I don’t believe they affect your credit rating. I have no savings. I am desperate to get out on my own again and have my own place, but hate the thought of renting and paying someone else’s mortgage. I’m paying £350 a month into my debt management plan, and this will be cleared by the end of the year.

I plan to continue saving this amount every month into savings account, and was maybe looking at one of the Help to Buy ISAs, but how realistic do you think it is for me to get a mortgage on my own with a poor credit score? It’s 499 on Experian. I am getting impatient for my own place, though I know that while studying part time it may not be the best thing to try and do. Would I be better to wait until I have saved a year, and have graduated and will be working as a teacher?

Im in in Northern Ireland and house prices in my area are roughly £100-120k for what I’m looking for. Renting is approx £500 per calendar month.

A friend bought a beautifl new build through co-ownership recently and is paying £350 a month which includes the mortgage and the rent, and this was what got me thinking more seriously about a mortgage, but I have heard very mixed reports about co-ownership too.

Any advice is really appreciated

meganjoanne

Also (not sure how to edit the post) should add that I currently have a simply be credit account with a balance of less than £150, and recently took out a Vanquis “credit builder” card, which so far I have only used for petrol. I haven’t received a statement yet but plan to pay off the balance in full.