Mortgage after bankruptcy

lanceneoman

Hi all.

Been on here for a while. But cant really find anything more up to date.

I went bankrupt in April 2021 and discharged a year later.

When I got discharged I got in touch with multiple mortgage advisers to see when in the future I could look as possibly obtaining a mortgage.

They all seemed to say after 3 years of being discharged you can usually get a 5% mortgage.

Skipton building society today have released a statement saying you can obtain a 100 thank you can obtain a 100% mortgage with them with good credit bread it obviously that is not myself that is not myself as I have I believe another I believe another 3 or 4 years with the bankruptcy on my file

Has anyone obtained a mortgage within 2 or 3 years after the the years after the bankruptcy ended.

If so can anyone recommend speaking to anyone.

I currently pay £850 a month in rent, have done for the past 6 years and never been late or missed a payment, when you add it up thats 61,000 in money gone.

So look for some help and advice.

Regards

ACG

1 year discharged there are a couple of lenders out there, but you are going to be looking at around 7-10%. 
You are also going to need a 40% deposit. 

To get something remotely "normal" (ie 10-15% deposit at rates of around 5%), you are looking at 3 years discharged. 

lanceneoman

Its crazy. You can pay rent for years and not get a look in. So basically i would have to, on top of paying £900 a month rent  try to save £40,000.

LunaLater

lanceneoman said:

Its crazy. You can pay rent for years and not get a look in. So basically i would have to, on top of paying £900 a month rent  try to save £40,000.

What’s crazy about it? You’ve defaulted on borrowed money in the past, so banks know that you’re a person willing to do this and are naturally reticent to have you do it to them.

ACG

lanceneoman said:

Its crazy. You can pay rent for years and not get a look in. So basically i would have to, on top of paying £900 a month rent  try to save £40,000.

Im not casting judgement here. Most of my customers have bad credit and I see everything from self inflicted damage through to ill health, divorce, loss of jobs - even loss of a child. So I am fully aware that in most cases there is a reason behind bankruptcy. 

But surely you can see it from a lenders perspective, they can lend the same money to someone who has not gone bankrupt. This is less risky and also requires less work from a regulatory perspective. I do also see the irony that you are more risk and in order to get the money have to pay more which in turn makes you even more risk. 

But you do get a look in, you would have been fine prior to the bankruptcy. Now, you need to spend a bit of time showing you will do not do the same thing again or pay a premium for it. In my experience people that have gone bankrupt are normally pretty good and they have gone through something traumatic and make massive changes to how they manage their finances but I am sure there are exceptions.