Finding Mortgage Lenders after Bankruptcy
Traditionally people who have been through bankruptcy have
experienced problems in obtaining a mortgage but in recent years
this has all changed and now there are more bankruptcy mortgage
lenders than ever.
Bankruptcy Mortgages
The impossibility of getting a mortgage after bankruptcy would
appear to be a thing of the past. There are now a plethora of
bankruptcy mortgage lenders on the market.
Many people view bankruptcy as a fresh start only to find that
it is just the beginning of their troubles. Getting any kind of
loan or mortgage after bankruptcy can be a real headache. Even
after being discharged as a bankrupt, after the usual three year
period, you may still find it very difficult to obtain a
mortgage. Regardless of your previous mortgage repayment record,
few high street mortgage lenders will consider your mortgage
application. From their point of view the risk of lending you
money is simply too high. However, don't give up hope too
quickly, there are now specialists in the bankruptcy mortgage
lender field who will consider lending you money. While
bankruptcy may remain on your credit record for up to ten years,
and may result in higher interest rates, filing for bankruptcy
will not totally prevent you from receiving a mortgage.
How to Choose a Bankruptcy Mortgage Lender
Many people find that choosing a bankruptcy mortgage lender,
even in the current market circumstances, is not as difficult as
they first think. There are a number of traditional mortgage
lenders who simply will not even consider lending to those after
bankruptcy and so they are fairly easily wiped from the list.
This leaves you with a limited number of mortgage lenders. The
best way to ensure success with these is to work hard to improve
your credit rating by paying your debts following the bankruptcy
on time. By taking a few simple steps you may find you are able
to obtain a good rate from a sub prime lender.
For those with a history of bankruptcy looking to get a mortgage
then it is highly advisable to visit a specialist mortgage
broker who has specialist experience of the market and can scan
for the latest deals and offers. By choosing a good bankruptcy
mortgage broker, you ensure that you will receive multiple
offers from a variety of sub prime lenders, allowing you to make
an ideal rate comparison. The question is: what constitutes a
good bankruptcy mortgage broker? You need to ensure that the
bankruptcy mortgage broker is giving you impartial advice and is
not trying to take advantage of your situation. The best way to
do this is to ensure that the mortgage broker you use is FSA
approved and that you go to several brokers who will offer you a
variety of bankruptcy mortgage lenders for you to compare. You
will need to pay particular attention to the fees charged.