DMP and shared ownership

ladybird75

Hi,Do you have any advice for me please.I was declined a shared ownership mortgage due to my DMP causing defaulted accounts.I have now a second job with my main job salary also increased and was thinking about paying those debts in the next 6months and out of the DMP.Will it help my credit score giving me better chances for the mortgages?

Atena

I was on DMP for 5 years and I was able to get shared ownership mortgage but I had to be 12 months clear of DMP for one lender to even consider me. It worked - 3 months in the new home now!
I must add I applied early July and was approved end of August before intrest rates gone mad.  Good luck 

kingstreet

Adverse credit can be countered two ways, time or deposit.

I'd expect you to need a massive deposit on a current DMP; or for the DMP to be behind you by a year or two for a smaller deposit to be acceptable.

ACG

Depending on the finer details, if the DMP remains, I think you would need a 25% deposit. If you were to satisfy the DMP prior to completion, then 20%. 

Rate wise, potentially as low as 4.8% on a variable rate. 

But that only takes into account the DMP, not any other adverse which resulted from the DMP or any other quirks. 

One for a broker as there is a lot to check upfront and realistically its very unlikely to be with a high street lender.