Finding a mortgage after bankruptcy can feel like an impossible task. You will likely have been declined if you have tried to find one yourself. Many lenders won’t accept you if they consider you to be high risk, even though you have been discharged, you are still considered to have a severe credit history.
Our specialist mortgage advisers are highly experienced in dealing with adverse credit. We can help you find a bespoke mortgage option which works for you. Helping you get onto the property ladder and moving into your own home.
Mortgages for discharged bankrupts do exist, even if you have been declined in the past. We have strong relationships with leading lenders, who are helping people, just like you, to rebuild their lives and start repairing their credit history. We will be there to guide you through every step of the application, from the very start, through to completion.
Our expert mortgage advisers can support you through multiple options, including:
- Lower deposit mortgages
- Buy to let mortgage after bankruptcy
Mortgage after bankruptcy, what do I need to know?
There is a long road ahead once you have been made bankrupt and you should prepare for a lengthy process with potential hurdles along the way.
You won’t be able to apply for your mortgage until you’re officially discharged. This can take up to 12 months; however, in some cases, it could be less. As soon as you have been discharged, you may apply for a mortgage. The more time between discharge and applying, the more likely your application will be accepted, so this could be worth bearing in mind when you are considering your mortgage options.
If your circumstances mean you cannot wait, it is still possible to find a company that will approve you. However, in these cases, you will likely need a larger deposit. Lenders will be looking for as much security as they can get. Our team will help you through this process and ensure you follow the strict guidelines. We will find the right lender and present your application in the right way.
The longer you wait, the stronger your chances are of a successful application, time will also open the door to better rates and lower deposit requirements. It is vital that you work on your credit history, a good mortgage adviser can help you discover the best ways to do this, build it slowly and make sure you don’t miss any payments. If you can build this up for over five years, you should qualify for competitive rates and have a more straightforward application process. There is life after bankruptcy.
Working with our team of experts and a mortgage adviser can give you a concise plan and help you understand the best time for you to apply for a mortgage.
How will I know the time is right?
As a high-risk applicant, you will need a specialist to talk you through the process of preparing for your mortgage application. Our team understands this will be an exciting and anxious time for you, that you will be keen to move on with your plans as quickly as you can. All our specialist advisers understand the roller coaster of emotions you are going through and are there to help you every step of the way.
Timing is all down to your personal circumstances. We can talk through this and work out what your options are.
Your first steps
We can talk you through checking your credit report. This should be one of the first things you do before going to a lender. You will want to look out for any mistakes on your file. It is possible for data to be entered incorrectly and you can apply to have this updated. This is particularly important if your discharge date is wrong.
Your bankruptcy could also appear on the national hunter database, so it is essential to check this too. This is a hurdle that could see you declined and delay your plans.
Your bankruptcy will have reset your credit file. However, you will need to approach your credit with extreme caution. Any new issues will compound with the bankruptcy, and it will make it very hard to get approval for a mortgage. We may still be able to find a lender willing to work with you, but it does throw a significant hurdle into an already tricky pursuit. Our experts will advise you of your options, but it is essential to remain frank and honest at all times. We are working for you, and we operate an environment of trust and integrity at all times.
What if I want to apply for a Buy to Let mortgage?
Applying for a buy to let mortgage comes with a different set of requirements:
- Clean credit history for three years from bankruptcy discharge
- A deposit of over twenty percent
- Proof of income – most employment statuses considered
- You are already a homeowner
You aren’t usually able to apply for a buy to rent mortgage unless three years have elapsed since your bankruptcy, so it’s important not to approach any lenders without expert advice, as it may have an impact on your credit score. A spotless credit history is required, so make sure you have done everything you can to rebuild your file and keep it intact. Speaking to an whole of market mortgage adviser can help you prepare and plan for the future.
Mortgages for discharged bankrupts are a complicated area so having a specialist by your side is really important. With buy to let, our highly skilled team may be able to help you even if you don’t fit all of the usual criteria. Seeking advice and taking practical guidance can help you succeed in rebuilding your future.
Get in touch with us now and together let’s take the first steps to your new home
Our team are highly qualified and have a vast amount of success in obtaining mortgages for discharged bankrupts. We understand how important this step is for you and will be at your side to get you back home. Get in touch for advice today