Mortgage After Bankruptcy or Repossession
Bankruptcy or repossession can feel like a major barrier to getting a mortgage. These are serious credit events, and many lenders will want to see time, stability and evidence that your financial situation has improved.
However, it may still be possible to explore mortgage options in the future. The right approach will depend on when the bankruptcy or repossession happened, whether you have been discharged from bankruptcy, your current credit conduct, deposit and affordability.
Can I get a mortgage after bankruptcy?
Some lenders may consider mortgage applications after bankruptcy, particularly once you have been discharged and have shown a period of stable financial behaviour. The longer it has been since the bankruptcy, the wider your options may become, subject to lender criteria.
Lenders are likely to look closely at your credit file, income, deposit, bank statements and how you have managed your finances since the bankruptcy.
Can I get a mortgage after repossession?
A previous repossession can make a mortgage application more complex, especially if it was recent or if there was a shortfall debt. However, specialist lenders may consider your circumstances if there is a clear explanation and evidence that your finances are now stable.
What lenders may consider
Lenders may review:
- When the bankruptcy or repossession happened
- Whether bankruptcy has been discharged
- Whether any shortfall debt remains
- Your credit conduct since the event
- Your deposit amount
- Your income and employment stability
- Your affordability
- Any other adverse credit markers
Specialist support from Just Mortgages
Our Adverse Credit Solutions Team helps clients who have faced serious financial challenges. We will review your circumstances, explain what may be possible, and help you understand what steps could improve your chances of getting mortgage-ready.
Take the next step
If you have experienced bankruptcy or repossession, speaking to an adviser early can help you understand your options and avoid applying before you are ready.
Speak to Just Mortgages’ Adverse Credit Solutions Team today.
FAQ
Can I get a mortgage after bankruptcy?
It may be possible to get a mortgage after bankruptcy, especially once you have been discharged and can show that your finances have been stable since. Lender criteria will vary.
Do I need to be discharged from bankruptcy before applying?
Most lenders will usually want you to be discharged from bankruptcy before considering a mortgage application. The amount of time since discharge can also affect the options available.
Can I get a mortgage after repossession?
It may be possible to get a mortgage after repossession, but it can be more complex. Lenders will consider when the repossession happened, whether any shortfall debt remains, your current credit conduct, deposit and affordability.
How long after repossession can I apply for a mortgage?
There is no single timescale for every lender. Generally, the longer it has been since the repossession and the stronger your financial position now, the more options may become available.
Will I need a larger deposit after bankruptcy or repossession?
You may need a larger deposit, depending on the lender and your circumstances. Serious adverse credit can reduce the number of available lenders, and deposit size can play an important role.
What can improve my chances after bankruptcy or repossession?
It may help to maintain all payments on time, avoid unnecessary borrowing, save a larger deposit, keep your credit file accurate and speak to a specialist adviser before making an application.
Can Just Mortgages help after bankruptcy or repossession?
Yes. Our Adverse Credit Solutions Team can review your situation, explain what may be realistic and help you explore specialist mortgage options where appropriate.