Poor Credit Rating

[worriedaboutmoney2022]

I'm really upset

We currently rent our house, the rent is £850 a month plus the bills, we are not behind on anything

We'd love our own home

A family member has died unexpectedly and left me £150,000 which would be more than enough for a deposit.

However
We've been to a mortgage lender and we can't get a mortgage owing to a past CCJ on the credit file and we have struggled in the past (mainly down to redundancy which left us short for a while and then the ever growing cost of childcare.

I feel like the dream of owning my own hone has been shattered.

Does anyone have any recommendations for lenders who would help people with poor credit ratings to get on the ladder 🪜

Any help or advice gratefully received x

Wait till the CCJ clears off your credit report. Think it takes 6years

It just seems such a long wait and more money wasted Paying rent out

Im hoping there are some specialised lenders who might be able to assist

Hi OP,
Would there be anything at all that you could buy outright - even if it not ideal e.g. kids sharing, not quite in the location you hoped/flat above shop etc. Then you could save what would have been paying your rent going forward to upsize or extend. I only ask as £850 rent doesn't sound like you are in a super expensive area (although I appreciate it is a lot but rents are so high in general).

How long ago was your CCJ issued?

Try KentReliance they are a specialist lender but you may need to go through a broker.

Don't go direct to any lenders yourself, speak to a broker. With a deposit of that size you should definitely have options.

I will echo what others have said about using a broker we have access to over 50 companies some of which are only available via brokers. Depending on how long ago the CCJ was you will have options

How long ago was the CCJ, how much for, and is it settled now?

Do you have other credit that you're keeping up with? Do you have any debt and do you meet affordability criteria for the mortgage you applied for?

With a £150k deposit, it's almost certain that a single CCJ won't stop you getting a reasonably priced mortgage, but you need to make sure you meet affordability criteria, your finances are otherwise tip top and you talk to a broker, who will know which products you will qualify for.

Also have a look at:

www.moneysavingexpert.com/mortgages/mortgage-guide/