1st Time Buyer Not so good Credit Rating!!

callyh21

Hi
I wondered if anyone could offer me some advice?

I am 22 and working full time i earn £13,500 pa my partner is 23 and earns £15,000. We would love to buy as we are sick of renting but dont know if we'd get a mortgage?

We dont have a deposit so would need 100% mortgage. Chris has a pretty good Credit rating as far as i know. He has a loan of £4800 which he pays £106 pcm and has not missed any payments but has been late once or twice.

I have credit cards totalling about £1500 which i pay about £60 pcm and a £2500 overdraft i just have to keep within limit and pay wot i want. We also have a joint loan of £3500 which is £80 pcm. so in total about £250 in credit commitments and we have about £1900 pcm comming in.

I do have a not so good rating due to missing/late payments a few months ago i also have 1 default from Jan 2006 which was paid in full.

Can anyone offer advice to whether we'd get a mortgage. As the money to pay every month is there just worried credit rating will stop us.


Many Thanks Cally

JimmyTheWig

I don't think that anyone is doing 100% mortgages these days. Do you have money for a deposit?

Conrad

Your looking at a minimum deposit of 5%. I think only First National will consider 5% deposit and a poor credit history, but they have just introduced credit scoring which will deduct points for all sorts of things such as moving address more than once or twice in 3 years. Thier rates are super high.

callyh21

Hi we did get a mortgage offer from Future in July last year that was for 100% but you can only go through a mortgage advisor you cant contact them yourself. So if anyones an advisor that thinks they can help. We could maybe get £2000 for a deposit

Conrad

That was last year, if you watch the news the last 9 months you will be aware of the world wide credit crunch which has lead to a mass contraction of the mortgage market meaning a lot less lending

callyh21

Right Yep i know that thats why im on here asking for Advice!!!

Trollfever

that thats why im on here asking for Advice

CRUNCH.

SAVE.

Bismarck

Out of interest, Trollfever, are sentences expensive in your part of the world?

sheerpeaches

Theres no such thing as 100% mortgage in todays market. You will really need a deposit. Get a credit check of both you histories,
http://www.moneysavingexpert.com/banking/credit-rating-credit-score
Take all your information such as incomings, outgoings plus your credit history to an independant mortgage advisor. Dont just visit one and remember theyre not there too judge you. Dont be pressured into applying for a mortgage because if your declined that will show on your credit file for future application. It could be worse, u could have just bought a property in the last few years and now run the risk of losing money on it!

callyh21

Does any actually mortagage Advisors have any usefull advice?? which would be very much appriciated. Thanks

callyh21

Hi Thanks SheerPeaches for the advice much appriciated much better than the previos which is no help to me at all!! x