Posted on 26 February 2011 by andrew caile
I currently have a property valued approx. £115/120,000, mortgaged for around £95,000. I dont live in the property and a friend stays there due to me living with my girlfriend at her house. I can't get an unsecured loan due to a not so good credit rating, is it a possibility for me to get a secured loan (being a better chance of borrowing)on the property bearing in mind I dont actually live there but do pay the mortgage on?
I don't think that you credit position is the main obstacle here, although even with a Secured Loan you will need to pass a Lender's credit score. Secured loans are generally only available to 85% LTV and your existing mortgage doesn't leave sufficient room to raise the funds.
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