The world of mortgages can be a tricky one to navigate, with lots of uncertainty, varying different types of advice, and different lenders to choose from. Where that uncertainty and worry can further increase is if your partner or joint mortgage applicant has a CCJ and how that effects your chance of getting a mortgage.
There are some lenders in the market who will offer joint mortgages to people where one partner or applicant has a CCJ. With some lenders the required deposit amount could be higher. The offer will also depend on the details on the CCJ including why and when it happened, how much it was, and whether it’s satisfied.
How we can help
Our advisers have access to a wide range of mortgage lenders who are prepared to offer home loans to people seeking a joint mortgage where a partner or one of the applicants has a CCJ.
As specialist advisers, they understand the processes involved in developing a solid joint mortgage application where a CCJ has been registered against one of the borrowers.
To find out how we can help, and what the options are, please call us today or complete the short enquiry form on this page. We can call you back at a time convenient to you and offer no-obligation initial advice on what joint mortgage product could be best for you.
What joint mortgages we can help with?
The types of joint mortgage our advisers can help you with include:
- First time buyer joint mortgages
- Buy to let joint mortgages
- Shared ownership mortgages
- Help to buy joint mortgages
If you or your partner has a CCJ, whether it’s satisfied, old, paid, or was recently registered, get in touch with us today to discuss your options.
Applying for a mortgage in just your name when a partner has a CCJ
It’s also possible for our advisers to offer advice to those who decide to take out a mortgage just in their name only, but where their partner has a CCJ or other bad credit issues.
Understandably you will have concerns over how your partner’s bad credit history and CCJ could affect your eligibility, even if they aren’t named on the mortgage.
With one quick call into our team, we can get a specialist adviser to talk you through the options and what route you need to take to get onto the property ladder.
How joint mortgages can be affected if one has a CCJ
CCJs, or County Court Judgements, are issued to people who failed to keep up repayments on a financial agreement. Once a CCJ has been issued, the borrower will be given a repayment plan to follow in order to pay back the outstanding amounts.
Our advisers work a monthly basis with people who have CCJs (see how our CCJ mortgage advice works) and over the years have built-up relationships and knowledge of the best lenders prepared to loan to this type of applicant.
In the majority of cases, the lenders our advisers work with will want to know a lot more about the circumstances of the CCJ, including details such as:
- When was the CCJ registered and how old is it?
- Why did one of the joint mortgage applicants have a CCJ issued?
- How many CCJs have been registered against one of the joint mortgage applicants?
- What was the value of the CCJ?
- Has the CCJ been satisfied (read more)?
As we mentioned earlier, the UK mortgage market is huge, and how lenders work with joint mortgage applicants where one has a CCJ registered against them will differ from company to company.
For example, there are some lenders who will happily lend to someone who has a couple of satisfied CCJs against their name – but on the proviso that none have been issued in the last 3 months.
In a case like this, the lender will place a limit on what that outstanding debt is, perhaps with an upper limit of £3,000. But other mortgage lenders won’t be so strict and don’t place a limit on the debt amount.
Some lenders won’t even be concerned whether the CCJ against the joint applicant has been satisfied, paid, or not, instead simply requiring that the CCJs were not registered in the previous 2-year period.
Because criteria can be so wide from lender to lender, it’s important to work with a specialist adviser who understands the possible complexities of CCJ mortgage applications, including which lender suits you the best at any given point in time.
How much of a deposit will you need?
Just like the different joint mortgage products available from varying lenders, their approach to deposit amounts will also differ.
There is no one-size fits all approach with regards to deposit amounts, with some lenders only working with borrowers with a CCJ history who have a deposit of 25%.
But, as before, our specialist advisers have access to a range of lenders some of whom will accept deposit amounts as low as 15%, with even some prepared to lend up to 95% on the property value depending on the circumstances of the joint application. For more information take a look at our calculator.
Our specialist advisers have an exceptional track record in helping to arrange mortgages with people where one has a CCJ, satisfied or not. Call today and they will be able to tell you what your deposit situation will be.
What if both applicants have CCJs?
If both of you have a CCJ registered against your name, then the lenders will look into both of your files before making any final decision.
Whilst this could possibly limit your choice of lenders, our advisers should be able to find a mortgage you can apply for but will depend on the circumstances of the CCJs as we touched on earlier.
Adding your partner to your mortgage if they have a CCJ
When you add a new borrower onto an existing mortgage, it will then become a remortgage as the terms and conditions will need to be changed.
Your current mortgage provider might not be prepared to add a new person onto the existing loan if they have a CCJ.
If that is the case, our advisers will be able to help you in searching the market for a lender prepared to accept you.
Just like if you were making a joint mortgage application from fresh (perhaps as a first-time buyer), if remortgaging with a new applicant who has a CCJ, the lender will want details on the bad credit.
The questions regarding the circumstances of the CCJ we outlined earlier that a lender will be interested in will still apply, but the lender will also want to know how much equity is in the property (loan to value).
Another added complication to consider will be additional costs involved. This can include:
- Legal fees that a solicitor will charge to transfer equity into the joint names.
- Administration fees to register the new applicant with the land registry.
- Administration fees form the mortgage lender for the arrangement.
- Valuation fees for remortgage purposes.
- Conveyancing costs
- Redemption penalties if you end up remortgaging your property.
However, with the support of a specialist mortgage adviser, you will be made aware of all these additional issues, making them proceed as smooth as possible. To get started, call us or complete the enquiry form.
How you can help yourself and your partner
If you would like advice, get in touch with us today.
To help speed up the process, it will help if you can have details on the CCJ, including when it was registered, whether it’s been satisfied and paid, how much it was, and the details surrounding how the debt was accrued.
As specialist in bad credit mortgages (find out more), our advisers help people all around the UK who have had CCJs, IVAs, bankruptcy history, defaults, repossessions, debt management plans, credit card issues, and debt problems registered against their name.
Even if your partner or one of the joint mortgage applicants has a CCJ against their name, you could get the mortgage you want and can afford with specialist help.