bad Credit mortgage

gemmalouise17

Hi, I am currently trying to get a mortgage and have a mortgage advisor on the case! It’s been a week now and I don’t really know if I’m going to be successful or not. I have a ccj but it’s 3 years old and is only £240. I also have missed payments on my Severn Trent account with a total debt of £1800 from my current address and 5 years ago. My mom is willing to do a joint mortgage and we have a 25% deposit. Just wondering what people thought my chances are on getting accepted! The house I am set on is £260,000

MovingForwards

What's your income?
What's your mom's income?
Does your mom already own a home, or has she previously?
Your ST bill, is that now paid off? 
If so, when?
If not, why?
Is the CCJ now paid off?
If no, why?
What was it for?

Has your broker said anything? 
After a week you should know if s/he can help you.

ACG

If your broker is experienced there is a good chance you can get this through at normal rates. 
Worst case scenario you should be able to get this through with a specialist lender - circa 3-3.5% rates. 

Dont bother putting your mum on unless there really is no other option, that will just bring other complications if your mum is over 45ish.

gemmalouise17

My income is 28,000 but some of that comes from child tax and working tax. My income from my job is 17,200. Not sure on moms exact income it’s likely to be around 25,000 Yes my mom owns her own home she will be taking out equity to gift me the deposit. I havnt paid off the Severn Trent bill but now have a payment plan. They had made a mistake on my credit file and now it’s only showing as £756 in debt with them. My broker advised me to sort something with Severn Trent which is now why it’s only showing as £756 due to a mistake on Severn trents behalf. That will come off my file in 5 days when credit karma update the file, clear score have already removed it and it doesn’t show in Experian. 

gemmalouise17

So instead of showing two accounts it will now show one account that has £756 outstanding 

MovingForwards

Have you used any mortgage calculators such as on nationwide?

Your mom is going to give / lend £65k for your deposit?

Your mom is going to remortgage to get the deposit for you.

Leaving you £195500 to find by way of a mortgage.

The mortgage will be on your own, or with your mom. With a single income of £28k, incl benefits or a joint income of £28k incl benefits and approx £25k, only your mom will have her own mortgage she is paying, due to raising the deposit.

How many children do you have?

Any nursery fees etc?

Edit to add,

I've just quickly done a Halifax check, adding 1 child, £28k salary and you are over £60k short of what you want.

Doing the same check splitting your income from your benefits and the max potential mortgage loan is about £113k, again leaving you short.

gemmalouise17

Yes my mom is going to give 65000 as a deposit. We was going to do a joint mortgage sole proprietor due to my bad credit and low salary. I have 2 children both school age I pay £40 a week for morning club. I havnt yet been told by the broker that it isn’t possible, I’m just now waiting for the second account on my credit file to be removed. Thank you for your response 

gemmalouise17

Looking at the mortgage calculators it looks like I may be short! Barclays is showing up the best chance giving me a budget of 240,000 bit was hoping with my mom on it may give it a bit more of a boost?

gemmalouise17

Just done one on NatWest and that’s coming out as a budget of 263,000? Putting in the same figures and details! They’re all coming out very different 

gemmalouise17

This is all without putting moms details in 

MovingForwards

Think you have done something wrong as I've just done one on nationwide and that's come in at just over £110k, 2 kids in primary school, guessed an age and said born in 1999, with a £65k deposit and looking to buy at £260k, it gave the option of income, child benefit and tax credit.

Just did it lumping income and benefits together and it came in at under £125k.