How do I improve my chances of getting a mortgage
There are a few things you can do to improve your chances of getting a mortgage straight away.
Check your credit score
- A credit score or credit report will tell you if you would be accepted for any borrowing by a lender. If you apply for your credit score and it comes back with a low score, you need to apply for your credit report to find out what is causing it. Go through it carefully. If there are any discrepancies, write to the companies involved, explain the issue – they may be able to take the default from your score. Click here to improve your credit score.
Get your finances in order
- Keep your bank account in the black and do not spend what you don’t have.
- If you have credit cards, don’t just pay the minimum payment. Pay off as much as you can to get the debt down. Click here to find out ways to lower your outgoings.
Repay your debts
- Go through your debts, write them down with the amount owed for each debt.
- Go through your expenses (household and work related). Work out how much you can live on each month. Divide the rest between your debts.
- Contact each debtor/company/person that you owe, advise each one what you can afford to pay back. Click here to find out ways to deal with your debt.
Don’t change your job
- If you are considering changing jobs, you need at least one year of employment history in a company BEFORE remortgaging and NEVER at the same time as re-mortgaging or just prior to re-mortgaging.
Overpaying on your current mortgage
- If you can, overpay on your current mortgage if you already own your own home.
Ask your parents for financial help with your deposit
- This should really be used as a last resort but this is becoming more frequently used as an option for the younger generation to get on the housing ladder.