Mortgage with IVA

Rozzi25

I'm looking for guidance and a glimmer of hope. We have just completed an IVA, and we have found a shared ownership property, which we love. So far, we haven't had any luck finding a mortgage provider who will lend to us for a shared ownership with a recently completed IVA (we did a one off IVA, so was only registered last August).

We have found a property worth £305,000. 40% share is £122,000. We have about 10% deposit.

The service charge and rent are about £400 for the remaining 60%. Our combined salary is between £65 to 70K per year. We have no debts.

We are struggling to find any mortgage brokers with a good understanding, which can help. Does anyone have any suggestions? 

Thank you

kingstreet

90% shared ownership with an IVA registered in August 2022?

I think you are going to struggle with that, sorry. This is from Kent Reliancethe usual "go-to" for SO and adverse;-

"IVA/bankrupts who have been discharged over 3 years ago and who have no residual debt may be accepted subject to individual case assessment."

csswiift

Rozzi25 said:

I'm looking for guidance and a glimmer of hope. We have just completed an IVA, and we have found a shared ownership property, which we love. So far, we haven't had any luck finding a mortgage provider who will lend to us for a shared ownership with a recently completed IVA (we did a one off IVA, so was only registered last August).

We have found a property worth £305,000. 40% share is £122,000. We have about 10% deposit.

The service charge and rent are about £400 for the remaining 60%. Our combined salary is between £65 to 70K per year. We have no debts.

We are struggling to find any mortgage brokers with a good understanding, which can help. Does anyone have any suggestions? 

Thank you

It’s not going to be easy in that situation unfortunately.

If you went with a sub prime mortgage lender ie Metro, they will require you to have the IVA discharged but will demand an 80% LTV so you’ll need 20% deposit.

It is possible though, you’ll just need to make sure you have a larger up front payment. Look at the Lending Criteria for Metro which guides you on what you’ll need.

Good luck buddy!

kingstreet

csswiift said:

Rozzi25 said:

I'm looking for guidance and a glimmer of hope. We have just completed an IVA, and we have found a shared ownership property, which we love. So far, we haven't had any luck finding a mortgage provider who will lend to us for a shared ownership with a recently completed IVA (we did a one off IVA, so was only registered last August).

We have found a property worth £305,000. 40% share is £122,000. We have about 10% deposit.

The service charge and rent are about £400 for the remaining 60%. Our combined salary is between £65 to 70K per year. We have no debts.

We are struggling to find any mortgage brokers with a good understanding, which can help. Does anyone have any suggestions? 

Thank you

It’s not going to be easy in that situation unfortunately.

If you went with a sub prime mortgage lender ie Metro, they will require you to have the IVA discharged but will demand an 80% LTV so you’ll need 20% deposit.

It is possible though, you’ll just need to make sure you have a larger up front payment. Look at the Lending Criteria for Metro which guides you on what you’ll need.

Good luck buddy!

Metro Bank criteria;-

Shared Ownership - Not accepted, unless staircasing to 100% ownership. Maximum LTV is 90%.