How to get a Mortgage with Bad Credit
If you’ve read our introduction to bad credit mortgages and information on what bad credit is, and have decided it’s right for you, this page will supply you with information on how to get a bad credit mortgage, what you’ll need, and what you’ll need to do.Find your buddy
Best bad credit mortgage lenders in the UK
Many bad credit mortgage lenders don’t advertise specific rates because there are so many variable factors that affect their assessment processes. This is why lenders will usually want to take a look at your circumstances before they make a decision about whether to lend to you.
One way to find out which bad credit mortgage is right for you is to get yourself a Mortgage Buddy. We’ll find you a mortgage that suits your individual situation and gives you the best deal.
There are a few particular factors lenders will look at when deciding on your mortgage rates:
Your deposit and how much you need to borrow
Any credit issues you’ve had in the past
The particular types and severity of those credit issues
How recently you had those credit issues
Whether or not your credit issues are outstanding
The current Bank of England interest rate
The market’s current general mortgage rates.
Best bad credit mortgage lenders
As we’ve said, high-street banks largely stay away from offering bad credit mortgages nowadays. What this means is that when you’re searching for your bad credit mortgage, you might be presented with some names you’ve not heard of before. Don’t be alarmed! While they might not be brands you know about it doesn’t mean they’re not reputable. In fact, it probably means that they are bad credit mortgage specialists – you might well get a better service and a better overall deal that works for you.
How to find a bad credit mortgage lender
Because the phrase ‘bad credit’ isn’t widely used by lenders when they advertise their mortgages, it can be hard to know what is a bad credit mortgage and what isn’t. This is when it becomes really useful to use a service like ours to figure out which mortgage is right for you.
Get started with our quick online form and let’s find the right bad credit mortgage lender for your situation.
Getting a bad credit mortgage from a high street lender
While it’s unlikely, it’s not impossible for a high street lender to accept your bad credit mortgage application. Some lenders might simply dismiss applications with the most severe credit issues, but might then go on to accept those with slightly less severe credit issues.
With some specialist help and guidance, it can be possible to present a bad credit mortgage application to a high street lender in such a way that they could accept it. If your application is strong in all the other areas – such as a steady income, acceptable outgoings and a large deposit – then you stand a good chance with most lenders.
Here are some of the other factors lenders will assess during your application:
- Your age
- Your address history – particularly whether or not you’ve moved often
- Income stability
- Type of income – whether you’re employed, self-employed, a contractor etc.
- Your savings
- Whether you’re on the electoral roll.
It’s also worth remembering that if you’re able to get a big deposit together, then you stand a really good chance of getting a mortgage. But you still can with a small deposit.
For more information on bad credit mortgages in the UK, get in touch with our expert team and find the best mortgage option for your needs. Fill in the contact form below and find your buddy today.