100% Mortgages

peterc2609

My net profit for Year one... (up to Nov 06) was 23k, PLUS the 5k wage I pay myself. So 28k.

Back then, I earned 175 a day.

I now earn 230 a day. So that will have gone up.

Reason for defaults:

1. £250 Credit Card
2. £2000 Loan

Basically, I was part of Mass Redundancy back in 2000. And the insurances would not pay out for whataver reason. I continued to pay as well I could, but in the end could not afford them (I was on a government funded training course - IT)

Since then, I have had no problems at all!

herbiesjp

It sounds as though, you could still have a good chance of getting the mortgage agreed

Have you spoken to a broker yet?

peterc2609

I spoke to one a few months back who when he looked around, it was revealed that one of the defaults was showing on my credit file as not satisfied.

After much chasing around and threatening of legal actions, my credit file was updated to show the correct info.

But back then they were coming back with interest rates of like 7.5%

Wehn I ee on the likes of first direct an direct line, 5.4% etc. But brokers cannot get these can they?

I am hoping to speak to a broker in the next few days, but am considering going it alone. Is this adviseable??

herbiesjp

Based on your scenario, I would not think you are going to get the lowest rates - not due to the credit history, but due to the fact you want to borrow 95%

I would suggest going via a broker as the combination of the defaults and 95% borrowing means it will need a broker to put a good case forward for you.

If you go it alone, and apply to lenders that credit search you and and then decline you, it could harm you chances to get a good deal

peterc2609

What are the benefits of brokers???

Do they actually 'speak in real life' to the borrowers??? And explain situations??

Thats where I started off... I was saying that my current saving are not enough for 10% but the 5% rates are rubbish!

Conrad

At 95% your company profits plus any provable unequovical dividends will be scrutinesed.

peterc2609

Conrad wrote: »

At 95% your company profits plus any provable unequovical dividends will be scrutinesed.

Not sure what you mean?

herbiesjp

peterc2609 wrote: »

Thats where I started off... I was saying that my current saving are not enough for 10% but the 5% rates are rubbish!

You can't have your cake and eat it though

You have two choices then:

1) Save for 10% and wait
2) Go for 95% and take the rates on offer

You have to decide what route you want to take.

peterc2609

That's the decision I'm faced with...!!!!!!!!!!!!!!

How stressful is it!!!

The GF is really calm, but I'm a big stressed out worrier!

Conrad

peterc2609 wrote: »

What are the benefits of brokers???

Do they actually 'speak in real life' to the borrowers??? And explain situations??

Thats where I started off... I was saying that my current saving are not enough for 10% but the 5% rates are rubbish!

Reading between the lines here are you saying brokers need to be, ermmmmmm 'flexible'?