Posted on 21 February 2011 by Sarah
My partner and I are looking for a mortgage.
We have around 40% deposit to value of the £250,000 property we are looking to purchase. We are both on an annual salary of £40,000.
The trouble is we both have very bad credit histories including 1 CCJ and defaults.
Is there anyway we can get a mortgage in the current economic climate?
Your credit record is definitely going to count against you and it is very unlikely you would get through the credit score of any of the major High Street Lenders. Whether or not you can get a mortgage elsewhere is going to depend on just how long ago your poor credit occurred.
If you have had no ccjs, defaults or mortgage arrears registered in the last 2 years it would be possible to secure a 2 year Fixed rate of 4.79%. If you have had mortgage arrears it might still be possible to get a mortgage so long as you have had none in the last 3 months, but lending would be restricted to 50% LTV.
I believe that we may be able to help you and recommend that you get an up to date copy of your credit files and then call us on 0344 346 3672. Tell the consultant the date of your question and they will be able to look at your situation and advise you accordingly.
Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.
We recommend you seek professional advice with regard to any of these topics where appropriate.