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Hot Topics
- Can I Get a Mortgage With A Group Of Friends?
- You are allowed to get a mortgage with up to three friends in the same way that you are allowed to get a mortgage with a partner – an idea that is appealing to more young professionals at the moment.
- What Happens If I Can’t Keep Up My Repayments?
- It is very important that if you are having problems meeting your mortgage repayments, you talk to your mortgage lender straight away.
- What If I Die Before My Mortgage Is Paid Off?
- If you die before your mortgage has been repaid, your estate will face the cost of paying back the outstanding balance. The mortgage will not be written off by the lender, it will have to be paid by the next of kin.
- Information For 1st Time Mortgage Buyers
- Your first mortgage will be the most significant financial undertaking of your life so far, but how exactly do you go about getting a mortgage?
- What is Adverse Credit?
- If a borrower has a history of poor credit usage then this is described as Adverse Credit, Sub Prime or just simply, Bad Credit. Poor Credit history can include County Court Judgements (CCJ's), Bankruptcy, Mortgage arrears or any late payments on credit cards, credit arrangements etc.
Do I Need a Guarantor?
If your lender is concerned about your ability to meet your mortgage commitments, they may ask you to provide a Guarantor.
If you can provide someone who will promise to support you financially if you cannot meet the mortgage repayments, your mortgage lender will provide you with the advance loan. This will usually be a blood relative. The lender will then look at the income of the guarantor - and they will need to prove that they can cover any mortgage repayments of their own, in addition to yours.
If the borrower defaults, it is then the responsibility of the guarantor to keep up the repayments. The guarantor should seek independent financial advice to ensure that they fully understand the implications of this. A typical example of this would be a parent acting as a guarantor for a student buying a flat. This is also especially likely to occur if you are buying a 100% mortgage, and are unable to raise a deposit.