Mortgages for Bad Credit: Your Path to Homeownership

Yes, absolutely. While high street banks may be hesitant, there is a large market of specialist lenders who are experienced in helping people with adverse credit. They look at your overall financial situation, not just your credit score.

You will typically need a larger deposit than someone with a perfect credit history. Most specialist lenders look for a deposit of at least 15% of the property value. In some cases, it could be 20-25% or more, depending on the severity and recency of your credit issues.

Interest rates for bad credit mortgages are generally higher to reflect the lender's increased risk. However, think of it as a stepping stone. By making your payments on time for a few years, you can rebuild your credit profile and potentially remortgage onto a more competitive rate in the future.

Yes, it's possible. Lenders will want to know when the CCJ was registered, its value, and whether it has been satisfied (paid off). A satisfied CCJ that was registered over two years ago will give you more options than a recent, unsatisfied one.

Yes, but the timing is crucial. Most lenders will not consider an application until you have been discharged from bankruptcy or your Individual Voluntary Arrangement (IVA) has been completed for at least two to three years. A larger deposit will almost certainly be required.

The older, the better. Lenders are much more forgiving of credit issues that occurred several years ago compared to those in the last 12 months. Many lenders have a cut-off and won't consider applicants with defaults or missed payments within the last year.

There is no "magic number." Specialist lenders don't typically rely on credit scores alone. They conduct a more detailed, manual underwriting process, looking at the story behind your credit issues, your current income, and your overall affordability.

The best first step is to understand exactly what is on your credit file. Check for any errors and see where you can make improvements. For more information, please see our detailed guide on understanding your credit report. Saving a larger deposit and reducing other outstanding debts will also significantly strengthen your application.

Using a specialist mortgage broker is highly recommended. We have access to lenders and exclusive deals that aren't available to the general public. We know which lenders are most likely to approve your specific circumstances, saving you time and protecting your credit file from multiple failed applications. Ready to chat? Contact us today.

Yes. Whether you are looking to raise capital or simply find a better rate when your current deal ends, there are specialist remortgage products available for those with adverse credit.

In a joint application, lenders assess both of your credit histories. Your partner's adverse credit will be a key factor. As specialist brokers, we can advise on the best way to structure your application, whether it's a joint mortgage with a specialist lender or an application in your sole name.

It can be more difficult, but it's not impossible. You will need to meet the criteria for both the scheme provider and a specialist mortgage lender who is willing to lend on shared ownership properties to applicants with adverse credit.