DH's Nan wants to be a guarantor so we can move house. But we have bad credit so how does it work?

[Mckayz]

We need to move to a bigger house. We have 3 DC and live in a 2 bedroom house.

Unfortunatly DH has bad credit from when he changed jobs and went 6 weeks between being paid and his first pay wasn't as much as he usually gets. So a few payments were missed. We made sure the mortgage was paid, loan and credit cards too.

But a few other things had been missed and even though we are now catching it up it still has an adverse affect.

My credit rating isn't great due to a few problems when my XH left. So I won't be on the mortgage and I am a SAHM so no income.

We applied for a mortgage in the summer as we had been told that it probably would be ok as we hadn't missed mortgage payments. But that wasn't the case.

DH's Nanna has said that she will act as a guarantor as she has the money in the bank but she is 81. Most guarantor mortgages we've looked at require the guarantor to be employed.

Also most seem to say about the guarantor providing the deposit, which we don't need as we'd get that from selling this house.

So is there a mortgage out there for us?

Thanks

I'd recommend you find an independent mortgage/financial adviser to steer you through this. Lenders can have very different policies to each other and it's very difficult for a lay person to know those policies when searching for a product.

I agree with finding a mortgage advisor. Because somebody told me almost anybody can get a mortgage from the right advisor. But they might pay slightly higher interest rates. A guarantor would become responsible for paying the mortgage if you didn't.

My Grandma did for us, but she her income x3 was the same as the mortgage, would that be the same as for your NaN?

She was retired btw, on a widow's pension.