Are You Not the Perfect Mortgage Applicant?

Are You Not the Perfect Mortgage Applicant
Are You Not the Perfect Mortgage Applicant?

Haven’t got perfect credit score, perfect employment status, huge deposit and loads of income? Then you may be put off applying for a mortgage or you may have been told that you can’t get a mortgage from a bank or lender who is looking for the perfect client.

Most people are not perfect and may have missed a payment on a credit card, not signed onto the electoral roll or may have had a few credit problems. People are not perfect all of the time and there are a few mortgage lenders appearing now in the market who are trying to offer a common sense approach to lending.

These lenders are called near prime lenders who are trying to offer a solution to those people who have had a few problems in the past. The Bank Of England Base Rate is only going to move in one direction and that is up. With a lot of people stuck on their current lenders standard variable rate with nowhere to go  as rates increase these people are going to be trapped. There are however, options worth exploring to avoid this situation.

The recession has had a significant impact on the credit profiles of many borrowers. They may have never had any problems with credit in the past but this downturn may have just been too much of a storm to weather. There has been an increase in missed payments on credit cards, ccj’s and missed mortgage payments. This has made it hard for a large percentage of the population to obtain a mortgage. Fortunately, we are starting to see a shift where products are becoming available specifically designed for this type of borrower.

New products are helping people who are finding it hard to fulfil their credit obligations to consolidate debt and capital raise to reduce monthly outgoings where there is equity available. A lot of people have taken out credit cards to help finance their livelihood and are on high credit card interest rates. These debts can be crippling to month to month household incomes. An option is to remortgage, consolidate the debt to reduce your monthly incomes.

If you are unsure about whether or not you will be able to obtain a mortgage for whatever reason it is always worth asking as one of these new near prime products may suit your needs.

There may be a fee for Mortgage advice. The precise amount will depend upon your circumstances but we estimate that it will be £250

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