Past defaults + mortgage chances

workerbee92

I'm hoping to get a mortgage to buy a house (first time buyer) in about 12 months. I have about £3000 saved in my Help to Buy ISA at the moment, and when my income increases from September I'll be saving at a much higher rate towards this goal to get myself to at least a 10% deposit. I'm also looking at houses in the cheaper range (less than £80k) as I don't want to stretch myself (against a salary of about £26k).

But in my you get years I had a lot of issues which meant I missed payments, buried my head in the sand and ended up racking up some defaults. The earliest of these are starting to drop off my account and I've since been using credit wisely to demonstrate I can make payments regularly etc.

But next year, I'll still have a fair few on file that can be categorised as: mobile phone, utilities, credit card and overdraft.

The most recent one was 2017 (the mobile phone - for £15 after I ended my contract) with the rest in 2015/2016.

How detrimental will they be in 12 months when I come to apply for a mortgage, given that I'm staying well into the "affordability" zone? And am I just being unrealistic thinking I could buy a house next year with this credit history?

Obviously the economy isn't in a fantastic position atm so that could have a big impact on it.

[Deleted User]

You'll want to engage a broker.

Visit the mortgage boards for a better idea of your options.

RelievedSheff

Next year is a long time away and no one can predict what the mortgage market will be like in 2021.

A good broker with some adverse experience should be able to get you a mortgage but it might not be at the best rates available at the time.

John_

Have you settled your defaults yet?

[Deleted User]

They can see the last 6 years via the CRAs.

They can about more historic data and can also use their own records.

workerbee92

Hi, thanks all.
All bar the biggest one is currently settled, although I'm on track to be fully settled by September.
My intention was to go through a broker when I come to apply anyway, I guess I was just looking for some anecdotal accounts that could give me information outside of an article. 
If anyone knows of any blog etc that I could be linked to in order to find this kind of info, that would be super helpful!