A default on your credit file can affect how lenders view your mortgage application. It shows that a previous credit agreement was not kept to, which may make some lenders more cautious.
However, a default does not automatically mean you cannot get a mortgage. The right route will depend on your circumstances, including when the default happened, whether it has been settled, and how your finances look now.
Can I get a mortgage with defaults?
It may be possible to get a mortgage with defaults, particularly if they are older, settled, or there is a clear explanation behind them. Lenders will usually assess the full picture rather than looking at one item in isolation.
Some lenders may decline applications with recent defaults, while others may take a more flexible approach if your current finances are stable and the mortgage appears affordable.
What lenders may look at
A lender may consider:
- How many defaults are on your credit file
- When the defaults were registered
- Whether they have been settled
- The value of each default
- Whether the defaults relate to secured or unsecured borrowing
- Your deposit and loan-to-value
- Your income and affordability
- Your credit conduct since the default
Why specialist advice matters
Applying to the wrong lender could lead to unnecessary stress and may affect your credit file if a hard search is carried out. A specialist mortgage adviser can help identify lenders whose criteria are more likely to match your circumstances.
At Just Mortgages, our Adverse Credit Solutions Team works with clients who have had defaults, arrears, missed payments and other credit challenges. We will explain your options clearly and help you understand what may be realistic.
Start with a conversation
Whether your default was recent or several years ago, it is worth getting advice before applying. We can help you understand your next steps and whether now is the right time to explore a mortgage.
Speak to Just Mortgages about mortgage options with defaults.