Mortgage and DMP help needed please

Cardiffcashcow

Hi there, I wonder if anyone is able to help. I currently have a mortgage jointly with my partner. Unfortunately, due to bad financial management and planning over the years I wracked up loads of debt and I am now on a Debt management plan with PayPlan. I make a monthly payment to chip away at paying of my debts. My mortgage is not included in this. I have had the mortgage for nearly 4 years and never missed a payment and have been on the DMP for 2 years (£25,000 outstanding). I can afford to pay both and due to a big increase in my salary in recent years things are perfectly manageable.

However, we have just had our first child and would love to move house. My questions are:

Is there any likely hood of me being accepted for a new mortgage? Even if it means staying with my current company. My salary has increased and we now have equity in the current property (Roughly £80,000). Obviously this would enable me to pay off the DMP and put equity into the new property. 

Obviously my credit score has been hit as a result of this and is not likely to climb for some time. Would the fact our mortgage is joint help? Would a guarantor help? 

I just wondered if anyone has any advice about this situation? 

Many thanks 

K_S

@cardiffcashcow Assuming that you've maintained your DMP well, you can indeed get a mortgage with an active or recently concluded DMP.

What kind of rates you will get and what kind of minimum deposit you are looking at will primarily depend on the contents of your credit report.

Lenders have different policy and criteria in this regard so whether or not you can stay with your current lender (unlikely if it's a mainstream one) will depend on their criteria.

I would recommend getting in touch with an experienced mortgage broker who can look at your circumstances, your credit file and give you an informed and realistic idea of your mortgage options. Based purely on the limited info in your post, you would have to be exceptionally unlucky to have no options at all.

ACG

Guarantors on mortgages are usually to help overcome a shortfall in income rather than bad credit.
I think you probably need to get your credit report infront of a broker. That will determine your options as it will depend on how everything shows on there. 

I suspect you are probably going to need a 15-20% deposit and rates are going to be in and around the 5% mark but dont hold me to that. Rates are changing that much at the minute I could be way off the mark.