Can You Get a Mortgage With Bad Credit in Newcastle?

As a mortgage broker in Newcastle, we frequently collaborate with clients seeking assistance with bad credit, arising from issues like missed payments, low credit scores, CCJs, and defaults, among others.

Frequently missing payments, such as on a mobile phone contract, may result in a default being associated with your credit record. This can present challenges when contemplating a future mortgage application, hinting at potential payment unreliability.

Fortunately, having missed payments or defaults doesn’t render it impossible to secure a mortgage. To enhance your prospects, we strongly recommend seeking specialist mortgage advice in Newcastle from a professional.

It’s important to note that obtaining a mortgage with bad credit in Newcastle may require a substantial deposit, potentially ranging from 10% to 15% of the property’s value. Mortgage lenders will seek detailed information on why you have bad credit.

They will also assess the duration of your bad credit history; if the default occurred recently, your chances may be significantly impacted. However, if the default happened years ago, and you haven’t missed payments for an extended period, your chances could be more favourable.

Everyone encounters setbacks, and having bad credit in Newcastle shouldn’t deter you from pursuing your mortgage goals. Specialised mortgage products designed for applicants with bad credit exist, and these deals could align with your personal and financial circumstances.

Bad Credit Mortgage FAQs in Newcastle

Drawing on our two decades of experience, we’ve encountered nearly every type of specialist mortgage situation. Regardless of the scenario, we always strive to provide assistance where possible.

Individuals with bad credit in Newcastle often have numerous questions, adding to the complexity of the mortgage process. To address these concerns, we’ve compiled a list of the most common questions asked by applicants with bad credit in Newcastle.

I have been declined by my bank for a mortgage in Newcastle, can you help?

As a trusted mortgage broker in Newcastle, many clients come to us after facing rejection from their bank for a mortgage. We strongly advise against repeated applications to your bank, as each rejection may negatively impact your credit.

Instead, we recommend reaching out to our mortgage advisors in Newcastle to discuss your current mortgage options. Even if you believe your situation is complex, we may be able to provide assistance.

What will my mortgage advisor in Newcastle need to see?

Regardless of the nature of your past credit issues, your mortgage advisor in Newcastle will require an up-to-date copy of your credit report. Obtaining this report before initiating a mortgage application is crucial, especially if you’re unsure about your credit history.

Our mortgage advisors in Newcastle can perform a complimentary credit check for you, ensuring it doesn’t affect your credit score. Multiple credit checks can potentially hinder your mortgage eligibility, so it’s advisable to avoid unnecessary checks.

Can I still get a mortgage in Newcastle with a good income but bad credit?

The answer to this question hinges on individual circumstances. Some individuals with less-than-ideal credit scores may still secure a mortgage with a substantial deposit and a stable income. However, despite these factors, a mortgage lender might decline the application due to perceived risk.

Mortgage lenders seek evidence of consistent mortgage payment capability to mitigate the risk of arrears. Repossession is a last resort for them, and they prefer to avoid such scenarios.

Although securing a mortgage with bad credit might involve a higher interest rate, viable options exist. Consultation with a professional mortgage advisor in Newcastle can help explore these options.

I’ve had mortgage problems before. Will that stop me from getting a mortgage in Newcastle now?

Regrettably, some individuals do miss mortgage payments, impacting their credit negatively. Even a single missed payment, with a plan to repay promptly, can register on your credit record.
If missed payments become recurrent, it can significantly affect your credit.

When the time comes to remortgage in Newcastle, purchase a new home, or invest in a buy to let property, challenges may arise. It’s crucial to recognise that mortgage lenders prioritise reliability and trustworthiness in your credit history.

What other types of adverse obstacles are customers facing?

As applicants navigate the realm of bad credit mortgages, they may encounter various scenarios that present substantial challenges during the mortgage application process. Some of these issues include, but are not limited to:

• Missed Mortgage Payments.
• Defaults on Credit Cards or Loans.
• County Court Judgements (CCJs).
• Bankruptcy.

While these circumstances are less than ideal, they do not necessarily preclude you from obtaining a mortgage. Although the process may be more challenging, potentially leading to higher mortgage rates, specialist mortgage lenders are available to provide assistance.

Get in Touch for Bad Credit Mortgage Advice in Newcastle

In need of specialist mortgage advice in Newcastle? Look no further than our team at Newcastlemoneyman. We understand that navigating the mortgage process with bad credit can be intimidating, and we’re here to lend a helping hand.

Every customer is entitled to a free mortgage appointment. Simply book online or give us a call to arrange a date and time that suits you.

Date Last Edited: December 6, 2023