Can I remortgage to finance new property with adverse credit?

Penguin6666

Hi all,

I’m about to use all my savings towards a deposit to buy a property with bad rates due to my credit. The property is not exactly what I want but to get on the property ladder it’s what I’ll need to do.

In 2 years time when my bad credit would have dropped off my credit file will I be able to remortgage to claim some of my 25% deposit back and use that as a deposit towards a new property? Or would I have to sell?

anything I should be aware of I’d I do this? I would look to rent the 1st property out or potentially keep it for myself as a second home. Does having a property already with 25% equity make it easier obtain a second home?

Thanks

ACG

When you remortgage in 2 years, you can potentially pull the extra equity out of the property.

However it will depend on:
The property value in 2 years,
Your credit profile,
Your affordability,
What you plan on doing with the property (at the minute you appear unsure),
The lenders criteria.