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Chance of getting a mortgage with defaults

(10 Posts)
foolssilver Tue 19-Nov-13 00:15:37


I was wondering if anyone had any experience or advice regarding getting a mortgage with defaults.

I have 3 defaulted accounts all for less than £500, one is due to come off next month and the other two are due to come off in August and Sept next year.

I have since sorted out my finances, the defaults were from a period where I over stretched myself and then was made redundant.

I hadn't considered buying until the defaults cane off next year but my landlord has just told me he needs to sell urgently but would offer me first refusal. He is going to get valuations but I think I know roughly what they will be given recent houses advertised on the street. I think I should be in a very strong position and have a deposit of 40 or maybe even 50%

So do I have any hope getting a mortgage before all the defaults come off my file? I love the house and would be gutted to move


foolssilver Tue 19-Nov-13 00:17:09

Oh meant to say I don't have any outstanding credit cards etc and just have a low monthly car payment.

Rockchick1984 Tue 19-Nov-13 08:40:01

Its worth a try, but explain the circumstances (redundancy) before an application is processed. As a general rule the answer would be no, however with good credit for 5 years, a reason for the defaults, and a large deposit, most mortgage advisers would be happy to refer you to their underwriters who will make a decision based on your circumstances rather than simply "computer days no"

CogitoErgoSometimes Tue 19-Nov-13 13:04:20

My DB has just gone through this process and had no luck whatsoever. He has a very steady well-paid job, the LTV wasn't all that high and yet the defaults stymied him at every turn. He's having to wait until next month before he can try again. Lost a very nice house in the meantime.

KatoPotato Tue 19-Nov-13 13:06:16

I would speak to a broker who can tell you exactly what your chances are!
Ours was fantastic and I'd hope that with such a high deposit you may be surprised?

samsonthecat Tue 19-Nov-13 13:06:28

You could try going through an independent financial advisor who will know which companies to try.

KatoPotato Tue 19-Nov-13 13:07:13

x post! Yes an IFA /Broker will have access to systems and their lending criteria.

MILLYMOLLYMANDYMAX Tue 19-Nov-13 13:19:15

Friend tried to transfer her mortgage, she had a 1 on one credit card, monthly salary was not processed as usual one month and didn't go in till the following week. She was refused.

manzanillaplease Tue 19-Nov-13 16:15:25

Well worth trying a good broker with that high deposit level - I have used Charcol and liked them.

Don't forget that if you are buying direct from your landlord, you should be able to negotiate a good price as he won't have any Estate Agents fees smile

foolssilver Wed 20-Nov-13 21:56:23

Thanks for all the helpful advice. I have spoken to a mortgage adviser today, she is going to speak to a few companies tomorrow and give me a ring back. Fingers crossed!

Thanks again.

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