Unsure how a lack of credit history could affect your home-purchasing journey as a first-time buyer?
Regardless of whether you’re worried or simply curious, the expert mortgage advisors at UKMC are here to help you learn more about how credit history is used by lenders to assess the affordability of first-time buyers.
Below, we explain whether it’s possible to obtain a first-time buyer mortgage with no credit history, and if you do need a credit score, what this should be to increase your chances of becoming a successful mortgage applicant.
Can I get a mortgage if I have no credit history?
Attempting to get a first-time buyer mortgage with no credit history? While you may have fewer options, it’s still possible.
It’s worth bearing in mind, however, that first-time buyers with no credit history may be offered deals with higher interest rates or larger deposit requirements – this is where our experienced team can be crucial in helping you to choose the most suitable deal for you.
Do first-time buyers need a credit score?
While there’s no minimum credit score that first-time buyers must have to obtain a mortgage, a good credit score is preferable.
This is because it demonstrates to lenders that they’re a ‘good borrower’ and are financially responsible.
As a result, obtaining a first-time buyer mortgage with no credit history or bad credit history can be more difficult than if you had a good credit score.
If you’re viewed as a risk by lenders, you’re also more likely to be offered deals with higher interest rates.
According to the credit reporting agency, Equifax, a ‘good’ credit score for first-time buyers is 620 or higher if they want to be approved for conventional mortgages.
Frequent missed payments, lots of credit agreements, and past financial difficulties (like County Court Judgements) will lower your credit score.
However, you’ll still have options to explore – ones that we can help you to understand and choose between.
If you’re concerned about how the lack of credit history could impact your chances of obtaining a first-time buyer mortgage, speak to our team today!
UKMC’s first-time buyer services
Keen to get the keys to your first home, but concerned about your lack of credit history?
With us your side, we’ll use our experience and knowledge in this industry to help you obtain a favourable first-time buyer mortgage with no credit history.
Our aim is to make your home-purchasing journey as straightforward as possible – this means explaining any complex legal jargon and ensuring you’re aware of how interest rates and various government schemes for first-time buyers could work for you.
With access to thousands of mortgage deals, we can help you to choose the arrangement that’s most suitable for your specific circumstances.
For more information about how we can help, why not contact our down-to-earth team today?
To learn more about our first-time buyer services or to explore thousands of mortgage deals with help from our experienced advisors, please don’t hesitate to book your appointment with our team today!
Alternatively, you can always give our family-run business a call on 01925 573328, email us at hello@ukmc.co.uk, or fill out our online contact form to get in touch – we look forward to hearing from you.
Disclaimer
UK Mortgage Centre Limited is an Appointed Representative of Refresh Mortgage Network Limited. Refresh Mortgage Network Limited is authorised and regulated by the Financial Conduct Authority. We are entered on the Financial Services Register under firm number 1019794.
As a mortgage is secured against your home, it could be repossessed if you do not keep up the mortgage repayments. The Financial Conduct Authority does not regulate some forms of buy-to-let mortgages.
The Financial Conduct Authority does not regulate will writing and taxation and trust advice.
You may be charged a fee for your advice. A typical fee is £495, which would be payable when you receive your mortgage offer. Your dedicated advisor will discuss this further on your free initial phone call.
Registered company number: 15825320
