Can I get a mortgage with no income?

harriettesme

Me and my partner have a 1 year old so I am currently not working, he earns good money however had a CCJ so he cannot get a mortgage in his name. I have a great credit score but 0 income currently. 
We are looking at shared ownership, there are lots around us starting at £50,000 for 25% and we have £30,000 for a deposit. Can it be done or am I living in a dream world?

MattMattMattUK

harriettesme said:

Me and my partner have a 1 year old so I am currently not working, he earns good money however had a CCJ so he cannot get a mortgage in his name. I have a great credit score but 0 income currently. 
We are looking at shared ownership, there are lots around us starting at £50,000 for 25% and we have £30,000 for a deposit. Can it be done or am I living in a dream world?

Your credit score is a meaningless number and no lender ever sees it, so ignore that. 

The short answer is no, you cannot take out a mortgage in the way you want to. 

A CCJ does not necessarily bar someone from getting a mortgage, though it would depend on the amount, whether it was settled and how recent it was, but he will need to go via a broker who specialises in people with adverse credit histories. How much you can borrow will depend on the total income you have (5 times is normally the absolute max, for someone with adverse credit it might be 3-4 times). Has he satisfied the CCJ, do you have any other debts? 

harriettesme

MattMattMattUK said:

harriettesme said:

Me and my partner have a 1 year old so I am currently not working, he earns good money however had a CCJ so he cannot get a mortgage in his name. I have a great credit score but 0 income currently. 
We are looking at shared ownership, there are lots around us starting at £50,000 for 25% and we have £30,000 for a deposit. Can it be done or am I living in a dream world?

Your credit score is a meaningless number and no lender ever sees it, so ignore that. 

The short answer is no, you cannot take out a mortgage in the way you want to. 

A CCJ does not necessarily bar someone from getting a mortgage, though it would depend on the amount, whether it was settled and how recent it was, but he will need to go via a broker who specialises in people with adverse credit histories. How much you can borrow will depend on the total income you have (5 times is normally the absolute max, for someone with adverse credit it might be 3-4 times). Has he satisfied the CCJ, do you have any other debts? 

No other debts and the CCJ will 'disappear' in nearly 2.5 years. Would your advice be to go via a mortgage broker or should myself go back to work and essentially my income will go completely towards child care costs? 

K_S

@harrietesme A 3+ year old CCJ should not stop you from getting a joint SO mortgage based on your partner's sole income. Depending the details, you may even get mainstream-ish rates.

eddddy

MattMattMattUK said:

Your credit score is a meaningless number and no lender ever sees it, so ignore that. 

I think that's a bit of a misleading comment.

It's probably more accurate to say that a credit score provided by a credit reference agency gives a partial picture, based on the partial information it has access to. It's based on information about how you manage your financial accounts, electoral role history, etc.

A mortgage lender will look at the same information (and probably calculate a score in a similar way) - plus look at a lot more info, like your income, outgoings, employment history, etc.


In simple terms,

• If credit reference agencies are giving you low scores, it's likely that a mortgage lender will give you low scores as well - so you might struggle to get a mortgage (at good rates).

• If credit reference agencies are giving you high scores - you can 'kind-of' consider that one box is ticked. But you still need to get more boxes ticked for income, outgoings, employment history, etc.

harriettesme

K_S said:

@harrietesme A 3+ year old CCJ should not stop you from getting a joint SO mortgage based on your partner's sole income. Depending the details, you may even get mainstream-ish rates.

Oh brilliant, that gives hope. There is quite contradictory information I have found that we had pretty much considered my partner out of the question in terms of getting a mortgage. Thank you for replying. 

silvermountains

harriettesme said:

No other debts and the CCJ will 'disappear' in nearly 2.5 years. Would your advice be to go via a mortgage broker or should myself go back to work and essentially my income will go completely towards child care costs? 

Your income will not completely go towards childcare costs.  That's completely the wrong way to look at it.

Your child has two parents, meaning childcare is a shared expense.

Also think of all the other benefits that will come from going back to work.

harriettesme

silvermountains said:

harriettesme said:

No other debts and the CCJ will 'disappear' in nearly 2.5 years. Would your advice be to go via a mortgage broker or should myself go back to work and essentially my income will go completely towards child care costs? 

Your income will not completely go towards childcare costs.  That's completely the wrong way to look at it.

Your child has two parents, meaning childcare is a shared expense.

Also think of all the other benefits that will come from going back to work.

Sure but we have chosen for me to be a stay at home Mum so my question is with our scenario can we get on the ladder so your input is not exactly helpful and I'm unsure what exactly I'm supposed to gain from your reply. To say my child has two parents, correct, but I am not a high earner and I am not willing to put my 1 YO in nursery full time, there is a lot to consider it is not as straight forward as you might think. 

Bluebell1000

harriettesme said:

silvermountains said:

harriettesme said:

No other debts and the CCJ will 'disappear' in nearly 2.5 years. Would your advice be to go via a mortgage broker or should myself go back to work and essentially my income will go completely towards child care costs? 

Your income will not completely go towards childcare costs.  That's completely the wrong way to look at it.

Your child has two parents, meaning childcare is a shared expense.

Also think of all the other benefits that will come from going back to work.

Sure but we have chosen for me to be a stay at home Mum so my question is with our scenario can we get on the ladder so your input is not exactly helpful and I'm unsure what exactly I'm supposed to gain from your reply. To say my child has two parents, correct, but I am not a high earner and I am not willing to put my 1 YO in nursery full time, there is a lot to consider it is not as straight forward as you might think. 

You did ask whether you should go back to work, and the poster replied about how you could view the costs, instead of looking at it as you paying it. If you are sure that you don't want to work then of course that's your choice, but please don't get annoyed with the poster who gave a perfectly reasonable reply to your question! 
Personally I couldn't wait to get back to work and drink an uninterrupted cup of hot tea 😅 but obviously it's not the answer for everyone. 

eidand

You could simply wait another 6 months to a year, then get back into work and after another 3-6 months your income will matter and make your life easier so you can apply for a mortgage.

harriettesme

eidand said:

You could simply wait another 6 months to a year, then get back into work and after another 3-6 months your income will matter and make your life easier so you can apply for a mortgage.

Great thank you for your help, I think this will be the approach we take.