Can I Get a Mortgage With Bad/Adverse Credit in Sheffield?

Bad Credit Mortgage Advice in Sheffield

Unsecured credit is a serious topic, and it’s not uncommon for clients to approach us for specialist mortgage advice in Sheffield when they have missed payments or have a low credit score.

All it takes is missing payments, like your mobile phone contract. You might get faced with a default attached to your credit report. It might leave you in a bad situation to obtain a mortgage near future because it indicates to the lender that you are at a high risk of not keeping up with your monthly repayments.

The good news is just because you have missed payments or have a default, it doesn’t necessarily mean you can’t get a mortgage, but you’ll likely need some specialist help because it is pretty likely you will get turned down for a mortgage by a High Street Bank who may be risk-averse, especially if you only have a smaller deposit. 

Specialist Lenders will want to know if the default got registered against you, and how long ago it was, the more likely it is that we’ll be able to help you, mainly if it was down to a life event such as separation, ill-health or redundancy. People make mistakes when they are young sometimes, and it can feel that these financial mistakes come back to haunt you.

We may also help you if you’ve had historic mortgage arrears or a County Court Judgement (CCJ).

Bad Credit Mortgage FAQs

We have compiled some bad credit scenarios and answers to frequently asked questions regarding bad credit mortgages in Sheffield. Don’t worry if your questions aren’t listed below, as we always deal with new challenges, which our fantastic team of advisors always try to get by.

What will my mortgage advisor in Sheffield need to see?

Whatever the credit problem you have had in the past, we are going to need to see an up-to-date copy of your credit report, which you can usually obtain for free online.

It’s essential that you obtain your credit report before applying for a mortgage if you have any doubts about your credit history because multiple credit searches can further damage your credit rating.

I have a good income but bad credit. Can I still get a mortgage?

The answer to this is very dependent on circumstances. Some customers find themselves a little confused by their credit. It may look bad and they may have had issues, but they have a solid income & enough deposit to reduce a rate and get a suitable mortgage. Because of risk, lenders won’t allow them to borrow the amount they’d like or anything at all.

The lender needs to be sure that you can pay back your mortgage payments without the likelihood of any arrears occurring. In the event of these arrears, the lender may need to repossess the home, which is something they want to avoid. Though it might sound complex, there are still options for people looking to get a mortgage with bad credit, with slightly higher rates. Getting in touch with a specialist mortgage advisor in Sheffield will be a practical next step to finding a potential mortgage.

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

Sometimes, for reasons entirely out of your control, you may find yourself in trouble financially and unable to keep up the mortgage payments you previously could pay with ease. These circumstances are unfortunate, and whilst it could be a momentary blip that you can pay back not too long after the damage gets done, a missed payment might appear on your record.

There may be other credit issues too that you’ve encountered during this time, and when it comes to getting a remortgage or a new mortgage after moving home in Sheffield, you may find yourself struggling. Again, this always comes down to risk. Can the lender trust you? Will you do this again?

Luckily, as providers of specialist mortgage advice in Sheffield, we have had lots of experience helping customers who previously had a mortgage and have since ended up with bad credit. If this explains your situation, then speaking with a dedicated mortgage broker in Sheffield will be crucial to finding future mortgage success.

What other types of adverse obstacles do customers face?

Customers may find themselves with an array of different adverse problems regarding their credit, all of which can negatively affect the mortgage process. These issues vary from, but are not limited to;

– Missed Mortgage Payments
– Credit Card or Loan Defaults
– County Court Judgement (CCJ’s)
– Bankruptcy

Whilst these are all awful situations to find yourself in, it’s not the end of the world. The process may be longer, it may be more challenging, and you may end up on a higher rate, but there are bespoke lenders out there, some of which we have on the panel, who will accept you depending on the circumstances.

To increase your chances of success and open yourself up to better rates, you should focus on improving your credit score. We have a handy guide we’ve written on How to Improve Your Credit Score, which will hopefully put you in a better place to obtain a mortgage in the future.

Get in Touch for Bad Credit Mortgage Advice

If you need some expert bad credit mortgage advice in Sheffield, speak to a responsive and experienced team of mortgage advisors in Sheffield. We’ll use our accrued twenty-plus years’ worth of knowledge to our advantage, working extra hard to ensure we have a clear and concise plan of action for your credit score and, hopefully, if all goes right, an eventual mortgage for you.

Date Last Edited: February 28, 2024