how difficult is it to obtain a mortgage?

[mwh]

Having entered into an IVA, how difficult is it to obtain a mortgage?

[Storm]

You need the services of a good sub-prime broker but it shouldn't be a problem.

You will need your IP's consent

A deposit of between 10-15%

Some lenders prefer you to have been in an IVA for more than 12 months

Rates will be slightly higher due to the increased risk but you can still get fixed rate deals etc....

[iva experts]

Welcome to the Forum mwh!

In an IVA it is possible to gain a mortgage however you will need the express permission of your I.P to do this.

Do you have family/friends who may be able to help you out with the deposit?

As Storm has mentioned you will be a higher risk so the rate may not be as good as high street rates. Speak with your I.P and get their advice.

Best Regards. IVA Experts

[iva_squirrel]

Hi mwh and welcome to the forum!

You can get a mortgage but you will need your IP permission, you will also need someone to provide you with the necessary funds to pay for the deposit and the mortgage payments should be equal to or less than you are currently paying in rent.

Regards,
Michelle P.

[Oliver]

You will likely have to seek advice from a sub-prime lender but getting a mortgage during an IVA should not be a problem as long as you, get your IPs permission, have someone give you the money for a deposit and ensure that having the mortgage is not going to affect your ability to meet with your IVA payments.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[simon.b]

Can anyone advise how the increased rates might copmare to that of high street banks? I know Welshboy is the main man for this but wondered if any of you might know?

[Oliver]

Historically it has been 0.5-1% higher as a rule of thumb but the sub prime market is getting more and more competitive meaning there are often very good rates of interest available.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[simon.b]

Thanks Oliver... I've not had a mortgage before so don't know in real terms how much extra that would be, but it doesn't sound too drastic which is good.

I know this isn't your area but maybe you'll know... should I buy somewhere for £200k with a 10% deposit so only require £180k mortgage, do you know what a monthly repayment could be with a High Street Bank and with a sub prime lender?

Just any sort of estimate would be great, just wondering how much extra a month I could face paying...

[mikebdomain]

Simon

The simple answer is to phone any broker and they will be able to take you through a fact find and determine what the best way forward is; Sub prime products are not ALWAYS more than high street rates – everything, even high street rates depend on your circumstances.

Speak to a broker with an expertise in the adverse lending market and ensure they have enough lenders on their panel to be able to offer you the best deal and advice. Most brokers will not charge you for product advice.


FREE ADVICE IS THE BEST ADVICE

[Oliver]

Once you know what rate you will be offered you can use this link to work out monthly payments and payment increases.

http://www.iva.co.uk/MortgageCalc.asp

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[mikebdomain]

When you speak to a broker they MUST (FSA regulation) supply you with an Initial Disclosure Document (IDD) within 5 days of speaking with you, and will (if you ask) supply you with a Key Facts Illustration (KFI) on any products they quote you on FOR FREE, so you will know what the rate will be.

FREE ADVICE IS THE BEST ADVICE

Mortgage Broker
Specialising in adverse credit.