will it be a blanket "NO"

hi, myself and my girlfriend are in the planning stages of building a house and all is take a good pace, thing is i'm worried that we might not get a mortgage. We are fortunate enough to have a free site and my father has has signed the deeds of our small farm into my name to help us get a mortgage, its valued at 270,000 and we have 25,000 saved of our own cash. We will be lookin for in the region of 230,000 but i missed a few (4 or 5) car payments in 05 and i've a funny feeling its about to come back to haunt me!! My girlfriend has a perfect track record. Will the deeds of land help me or am i a gonner?

Get you credit rating from ICB, you can order this online for 6 euro. This report will show you what info the mortgage / lender will have on you. I am sure that the missed payments will be shown, therefore the best plan I would think would be to approach the mortgage company and first of all tell them the story about the missed payments (with a very imaginative, and seriously thought out excuse, as you are now forearmed) Dont let them be the ones to discover that you missed payments in the past, let them know first thing ! This was obviously something that never happened in the past, but due to bla bla ect.........

Best of luck

If you have a free site, the loan to build a house will see the bank on perhaps 70% LTV or even lower. There is no need to give them your farm as security and you should not offer it.

Generally, if you are a good candidate for a loan, a free site is all the equity you need. If you are a bad candidate for a loan, then the extra equity\security will not usually help with a mainstream lender. It might help with one of the non-mainstream lenders, but I would be very slow to go this road if I were you.

as far as I know the specialist/sub prime lenders will not touch a self build mortgage as they are impossible to securitise

The main stream route is the only one open to you.

that's three years ago so your credit record may not go back that far.

yeah, we'd like to go mainstream route if at all possible, sent away for a credit report today so cheers for the advice guys. we are thinkin of setting up an appointment with our bank to discuss about mortgages and gently hint that we be applying with them in the next 12 months. i wonder is it a worthwhile move or a waste of time.

again,thanks

It would be possible to get you the loan assuming you have a good reason for missing the payments, everything has been uptodate for over a year and you are in secure employment.

My advise would be to talk to an independent broker as they would know how to best present this case to the bank.

Good luck

Bob