Unlocking Homeownership: Alternative Mortgage Options for Bad Credit
If you have a poor credit history, securing a mortgage can be challenging. However, fear not! There are specialised professionals known as bad credit mortgage brokers or adverse credit mortgage advisors who can assist you in finding suitable mortgage solutions despite your credit difficulties.
The Help to Buy: Equity Loan program closed its doors on October 31st, 2022. But don't worry, there are alternative options available, even for those with bad credit.
One such option is the Mortgage Guarantee Scheme. This scheme aims to increase the number of mortgage deals with a loan-to-value ratio of 95%, making it easier for individuals with less than a 10% deposit to purchase a home. The scheme has been extended until the end of 2023.
Another possibility is the First Homes initiative, which offers new build homes at a significant discount, typically 30-50% below market value. This scheme prioritises essential workers and those with low incomes.
If you're looking for a middle ground between renting and buying, Shared Ownership might be a suitable choice. This program allows you to purchase a share of a property in collaboration with a local authority or housing association, paying rent for the remaining portion. Over time, you have the option to increase your stake through a process called staircasing.
For individuals currently residing in council properties, the Right to Buy scheme provides an opportunity to buy the property at a discount, which can also serve as your mortgage deposit if desired.
To explore these options and find the right solution for your circumstances, it is recommended to consult an independent mortgage advisor specialising in complex and bad credit mortgages. They possess the expertise and knowledge to guide you through the process and help you secure a mortgage despite your credit challenges.
Remember, while Help to Buy has concluded, there are still alternatives available. With the assistance of a bad credit mortgage broker or adverse credit mortgage advisor, you can navigate the complexities of the mortgage market and find a suitable solution tailored to your needs.
Need bad credit mortgage advice in Tyldesley, Leigh, or Atherton? Visit our Home Page to learn how we can guide you through the process.
Related articles:
Bad Credit Mortgages: What Lenders Look for
Do I Need a Mortgage Broker for Bad Credit? Find Out Here!
Ultimate Guide: Timeline of Buying Your Home - Step-by-Step Process