Mortgage with CCJ (HTB/SO)

hannahkaty

Hi,

I'm in the very early stages of looking to buy a flat (In London) and have started to look into the possibility of whether anyone would actually lend to me.

I am very lucky that my parents have said they could help with a deposit, which with properties i can afford in the areas i want to live in London would restrict me to HTB or Shared Ownership. (Re SO I have read all the pitfalls about SO specifically but have multiple friends who have bought in London (zone2) where they haven't been stung, so whilst being mindful of it i am considering it as an option for now.)

My situation: I have two 5 year old CCJs on my file, one is satisfied (as of early 2018), one is not both are due to drop off my file & the public registry mid 2020.

I have so far contacted Aldermore to see if they would loan to me and they have said it is possible on HTB only. I also contacted an advisor a friend of mine recommended re SO to see if he would be able to offer assistance and he said:

'Please note that CCJ’s do not automatically “drop off” your credit file after 5 years. This is a common misconception. They actually come off your credit file 5 years AFTER you have satisfied them.Shared ownership lenders will typically refuse to lend until CCJ’s have been satisfied for at least 4 to 6 years and are extremely unlikely to lend whilst a CCJ remains unsatisfied.

I already understood that it would be harder to get a SO mortgage with a CCJ but my understanding is that CCJs do drop off your file and the public registry after 6 years of the date of the court action whether satisfied or not, because of this I was going to wait till 2020 if i needed to go down the SO route. His advice has somewhat confused me though as he is directly contradicting EVERYTHING i have read about CCJs anywhere.

My questions;
- Is the advice correct? Even if the CCJ does drop off the file and registry would lenders still be unwilling to loan to me even after 6 years? Would i need to declare the CCJs after 6 years? Would a lender be able to see i'd had a CCJ 6 years prior?
- If he's incorrect, would a SO lender consider me now or in 2020? I have had no marks against my name since the CCJs, on the electoral roll, all bills and accounts up to date.

Hope this all makes sense, happy to clarify if needed and thanks so much in advance for any help!