Self Cert Mortgages, Bad Credit Mortgages and Affordability
We’re facing tricky financial times in 2008. As the UK economy begins to feel the shockwaves of the collapse of the subprime market, it can be harder then ever to get a competitive mortgage package, especially if you are looking for a self cert mortgage or bad credit mortgage. Although many mainstream lenders may turn you away, you shouldn’t lose heart. There are some competitive self cert mortgages, bad credit mortgages and other mortgage and loan products designed specifically for you. When it comes to these self cert mortgages and bad credit mortgages, it isn’t your bad credit record or lack of evidence for regular income that matters, but your affordability.
Self Cert Mortgages – Can you afford one?
If you are self employed, you need to honestly ask yourself whether you can afford a monthly mortgage payment. If you’re looking for a self cert mortgage or bad credit mortgage, you also need to remember that your home could face repossession if you fail to meet your mortgage payments. Before you take out a self cert mortgage or bad credit mortgage, remember:
- Interest rates are high – you need to take into account that higher rates will mean higher repayments. Rates change, so try and look for a self cert mortgage or bad credit mortgage that takes this into account.
- Average salaries have not risen to help meet the rising expense of inflated property prices – try and find a property that is affordable, look out for areas where property prices are dropping as you could pick up a bargain. House prices are cyclical and will in all likelihood rise again, so if you’re looking for a long term investment, shop around.
Affordability is the key factor to home ownership, if you are looking for bad credit mortgages, you need to ensure you have taken into account all of your debts before working out your affordability. Remember to include extras such as council tax, water rates and utilities as well as other costs such as solicitor and survey fees and removal costs. Repossessions are set to rise to 50% in 2008 according to the Council of Mortgage Lenders, so before you take out a bad credit mortgage or self cert mortgage, you should ensure you can afford it.
Prosper Home Loans have the experience and expertise to obtain the best mortgage to suit your individual financial situation. Whether you are planning your first purchase, moving home, thinking about remortgage or debt consolidation, buying a second home, or perhaps considering a commercial venture, let Prosper help. Prosper has extensive experience in working with specialist self cert mortgage lenders, so if you’re looking for self cert mortgages or bad credit mortgages, email your query to: enquiry@prosperhomeloans.co.uk or telephone: 01424 712333 and find out how Prosper can help you.