How to get a Mortgage with Bad Credit but Good Income


Bad Credit Mortgages with a Good Income

The high street banks aren’t great if you have bad credit, there’s little point making it worse by trying one after the other as this could bring down your credit score even further.

High street lenders aren’t great for accepting people with a poor credit history, but there are a large number of specialist lenders who aren’t on the high street who could help.

This is actually where a mortgage broker can help, but only if they offer a free service with access to the Whole of Market like we do.

There are many more specialist lending channels and bad credit lenders available to mortgage brokers, so your chances of getting accepted for a mortgage by using a broker are much higher than going it alone.

Typical Deposit Required:

10% Deposit15% Deposit15% – 25% Deposit

Credit Issues over 2 years old.

No CCJ’s on credit report and low default amounts.

Not more than 2 defaults.

Credit Issues over 2 years old.

CCJ’s and multiple defaults accepted over 2 years old.

Credit Issues within 2 years

Including CCJ’s and defaults.

(Please note that this table is a general guide and criteria can change depending on your personal circumstances).

Mainstream or Specialist?

If you have a good income, chances are you are going to have a decent sized deposit. You will need at least 15% deposit if your bad credit issues are severe and in most cases a specialist bad credit mortgage lender will be required. However, depending on how long ago the issues occurred and the severity, there are a handful of mainstream lenders who may consider 10% deposit.

For worst-case scenarios and multiple issues of defaults and CCJ’s, you will need a deposit anywhere between 15%-25% as a minimum. Your income will be assessed against your current outgoings and each lender will apply their own affordability assessment. The mortgage lenders will also look at your debt to income ratio and overall commitments with other providers.

Income Required

Use our Bad Credit Mortgage Calculator to work out how much you could borrow.
Affordability Calculator
Important: This article does not constitute personal advice or recommendation. Contact us for a personal individual assessment.