Credit impaired homebuyers likely to need more help

Friday, November 22nd, 2019

According to research carried out recently by YouGov (the British international internet-based market research and data analytics firm, headquartered in the UK), approximately 1.25m people who were categorised as ‘credit impaired’ or having ‘adverse credit’ are considering purchasing a property during the next 12 months. 

The terms ‘credit impaired mortgage’ and ‘adverse credit mortgage’ are used to refer to people who have had issues such as missed loan or mortgage payments, county court judgements (CCJs) or accumulated defaults.

Given the additional challenges that these two categories present for applicants, using a specialist mortgage broker may improve the chance of gaining access to the best and most suitable mortgage in all the circumstances.

The YouGov research also suggests that, as a consequence of many now finding that they have a low credit score or adverse credit record due to increased unsecured debt levels, missed payments, CCJs, and defaults, the adverse credit mortgage market may be larger than many industry analysts had assumed.

It is not all bad news though as there are competitive options available. A specialist mortgage broker who has experience of using lenders in the adverse credit market may be able to help applicants secure a mortgage whether it be for a first purchase or to take the next steps on the property ladder.

Many of the lenders who provide mortgages to customers with impaired credit have processes in place where lending decisions are by real underwriters and not just computerised criteria. These underwriters can often take a more pragmatic view of the customer’s previous circumstances and their ability to maintain payments on a mortgage in the future.  

A mortgage broker with extensive experience of using lenders in this sector of the market could literally hold your “keys to the door”! That said, the research by YouGov concluded that many potential borrowers give up on the chance of ever getting a mortgage without even having spoken to a specialist mortgage broker like Caboodle Finance of Sutton Coldfield, Birmingham. 

Our team always does its utmost to ensure that our clients always receive the very best mortgage advice. If you want to see what some of our many clients think of us and the first-class service, they say we provide, just check out our many testimonials HERE.

So, if you would like some more help, please call us in complete confidence here at Caboodle Finance of Sutton Coldfield, Birmingham today on 0121 308 9114 or alternatively click HERE to contact us via our website and one of our expert team will be in touch.