Mortgage After Bankruptcy
Updated 2nd December 2020
Our Mortgage Experts Online accredited advisors are specialists in mortgage after bankruptcy. Furthermore , our expert’s knowledge will help you to find the right mortgage after bankruptcy on the market to meet your specific requirements.
From big high street banks and building societies, to smaller more niche mortgage lenders, there is a lot of choice out there. Subsequently, this may feel completely overwhelming to you and you may have no idea where to start. We can offer you guidance and help you navigate the complex world of mortgage after bankruptcy.
In addition, the brokers we work with are whole of market and offer completely unbiased advice, ensuring that you get the absolute best deal available.
Scroll down for more information and FAQ’s about mortgage after bankruptcy.
- How long after bankruptcy can I apply for a mortgage?
- Can I get a mortgage after bankruptcy?
- How much can I borrow after a bankruptcy?
- What is the National Hunters Database?
- Check your credit reports
- Why do I need a mortgage expert?
- Can I get a buy to let property after bankruptcy?
- Speak to a mortgage after bankruptcy advisor
How long after bankruptcy can I apply for a mortgage?
This is one of the key areas when it comes to looking at mortgage options, the old saying “time is great healer” is certainly true in this case. Firstly, you will need to be discharged a minimum of 12 months and need a sizeable deposit of 30-35%.
Generally, the market opens up once you have been discharged for 3+ years. Potentially you would need a 15%. However, once the bankruptcy is off the credit file (6 years from registration date) then your options will vastly improve. Ordinarily, if you have been good with credit and built up a good score with no further issues, then it is possible with 10% deposit.
As previously mentioned when looking for a mortgage after bankruptcy, even if the bankruptcy isn’t showing on your credit report you must always declare it. Our experts have some exclusive deals which aren’t available to all brokers.
Can I get a mortgage after bankruptcy?
Yes, it possible to get a mortgage after bankruptcy. However, It will be more difficult, and this will potentially be reflected within the mortgage interest rates that lenders are prepared to offer. In particular, if the bankruptcy is still showing on the credit report. Mortgage after bankruptcy require added attention to detail. Firstly, making sure your credit report is reflective of your situation, are all the accounts showing as satisfied and the correct bankruptcy dates? if not, this is going to cause you an issue. To begin with, your mortgage expert will check this information with you.
Some lenders won’t lend to you at all after being bankrupt, So, it is vital to declare any bankruptcy from the beginning.
How much can I borrow after a bankruptcy?
Each mortgage after bankruptcy application is assessed on its individual merits. Typical calculation is between 4-5 times income. The larger your deposit levels the more chance of borrowing more money.
They will also look at your income and any other expenditure, other debts, childcare costs and basically any monthly commitment.
Using the right lender for your circumstances is pivotal in ensuring you can borrow the money needed and at the best possible rate of interest.
What is the National Hunters Database?
This is an anti-fraud register and contains the record of anyone that has been declared bankrupt. If you don’t declare the bankruptcy and it’s not showing on the credit report, the lender won’t pick up on it, however the solicitors will perform a bankruptcy search as part of the conveyancing process and it will get picked up at the last stage of the process. In addition to this, the report will flag up any fraudulent activity that has been reported about you. If as lender declines your application and doesn’t give you a reason, this would be the first report to check. In this case, you can request the information directly with the report provider.
Check your credit reports.
Did you know there 3 credit report agencies?– Experian, Equifax & Transunion. Generally, each report will have slightly different information recorded. The reason for this being that lenders don’t have to report credit information to all agencies.
To check your latest credit report click here.
After a bankruptcy it is vital that all the credit reports match, This entails any defaults or CCJ’s that were part of the bankruptcy now showing as settled. Also, ensuring that bankruptcy dates and discharge dates are correct.
You will also need to ensure that you are showing on the electoral roll at your current address.
Why do I need a mortgage expert?
Our mortgage after bankruptcy experts will run through everything with you. They will be able to tell you deposit levels needed, borrowing potential and timescales involved. In comparison to a standard mortgage the lender will carry our extensive checks. Therefore, your mortgage experts will get the paperwork in order before any application, coupled with, discussing your case with busiest development manager for the lender. In short, there is a lot of work that goes on the background before mortgage after bankruptcy application.
After reviewing the information they will decide if you are eligible now or tell you when you would be. They will outline all the steps involved to get you on the property ladder. Your expert can also advise on how to improve your credit score, some examples are.
Can I get a buy to let property after bankruptcy?
It is possible to get a buy to let mortgage after bankruptcy. The more deposit you have the better. Currently the absolute minimum is 20% but ideally you would have 25%.
You would need another property in the background and have some form of personal income.
Speak to a mortgage after bankruptcy advisor.
There are many lenders available ranging from high street to specialist lenders. Most people go to their own bank, get declined or can’t borrow what they need – just because one lender has declined you, don’t give up.
Our mortgage after bankruptcy experts will look at each case before deciding which lender is right for you and your individual circumstances. All the mortgage after bankruptcy brokers we work with are whole of market and offer unbiased advice. They will have access to all the specialist lenders to really enhance your chances of achieving your mortgage for discharged bankrupts
The mortgage after bankruptcy brokers we work with have experience in dealing with all aspects of mortgages after bankruptcy and importantly using the whole of the market to access the very best deals available.