Adverse Credit Mortgaged

chrmc

Hello All

I'm a first time poster here and just seeking some advice and guidance from either brokers on here or from individuals own experience. 

So the situation is that my partner and I earn a combined salary of £62k. We have some existing credit commitments (Two credit card and one unsecured loan) which have balances and are being paid above the min payment each month.

My partners credit is good with no negative markers, mine however, is poor with two satisfied defaults. One was from Capital One and the second from O2. They were registered in Jan and June 2018 and satisfied in full June 2020.

We've been trying to look at mortgages  with the aim of moving in to our new house by the end of this year. It's not going too well. Our broker suggested HSBC and Halifax could be options. HSBC failed right away and Halifax were looking for 15% deposit. 

We had originally hoped to utilise the Government Guarantee scheme which is a no-go and we can probably stretch to 10% but 15% isn't going to be easy to get within the year.

We're looking properties around £150k.

Our broker has suggested that we look at some specialist lenders, Kensington was mentioned but their max LTV for Northern Ireland is 75%. Are there any other lenders that could consider us at 90% LTV?

Our broker is good when we can get hold of him but there can be a long delay in between emails or after calls and we're both really stressed out and want to see what options we might have. 

Any guidance or advice is more than appreciated.

Paul_K_2

Hi,

I have just started a mortgage via a broker with vidahomeloans.co.uk I think they will refer you to one of there preferred brokers. They will take on people without a perfect credit history but you will pay a higher interest rate.

Good luck

Hobicore

How much are the defaults for? I thought Halifax accepted 500 satisfied and 1000 unsatisfied.

there are soo few lenders in NI, we are looking also!

these are the following mortgages that I have gathered that lend in NI other than those you have tried

Danske bank offering 95% but heard they’re strict
Platform (co-op) - check their lending criteria 
Bank of Ireland 
Ulster bank - although I hear they are closing?

I’m still trying to get a full list for NI but it’s so hard to find anywhere

Hobicore

chrmc said:

Hello All


My partners credit is good with no negative markers, mine however, is poor with two satisfied defaults. One was from Capital One and the second from O2. They were registered in Jan and June 2018 and satisfied in full June 2020.

Also, you should wait to apply after June 2021 so that your defaults are over 3 years old? That may help more.

did Halifax/HSBC do a hard search?

chrmc

Hobicore said:

How much are the defaults for? I thought Halifax accepted 500 satisfied and 1000 unsatisfied.

there are soo few lenders in NI, we are looking also!

these are the following mortgages that I have gathered that lend in NI other than those you have tried

Danske bank offering 95% but heard they’re strict
Platform (co-op) - check their lending criteria 
Bank of Ireland 
Ulster bank - although I hear they are closing?

I’m still trying to get a full list for NI but it’s so hard to find anywhere

Thanks, Halifax would accept them but wanted the 15% deposit rather than 10%. Defaults are 500 and 300.

bank of Ireland is a no go as they’re a clean credit lender. I’ll check platform abs Ulster bank. Thanks.

chrmc

Hobicore said:

chrmc said:

Hello All


My partners credit is good with no negative markers, mine however, is poor with two satisfied defaults. One was from Capital One and the second from O2. They were registered in Jan and June 2018 and satisfied in full June 2020.

Also, you should wait to apply after June 2021 so that your defaults are over 3 years old? That may help more.

did Halifax/HSBC do a hard search?

Is that likely to make a difference do you think??

no, they were both soft searches.

Hobicore

chrmc said:

Hobicore said:

chrmc said:

Hello All


My partners credit is good with no negative markers, mine however, is poor with two satisfied defaults. One was from Capital One and the second from O2. They were registered in Jan and June 2018 and satisfied in full June 2020.

Also, you should wait to apply after June 2021 so that your defaults are over 3 years old? That may help more.

did Halifax/HSBC do a hard search?

Is that likely to make a difference do you think??

no, they were both soft searches.

From my research 3 years default is considered better but I would enquire with broker.

also, I just checked AIB lending criteria said defaults considered so maybe ask broker about them?

K_S

@chrmc On the basis of the limited info in your post, Halifax 85% is likely to be the best you can get at this point for NI. There are a couple of more lenders whom your broker could DIP and see if it meets credit scoring, but I wouldn't expect it to pass at 90% LTV. No harm in trying though!