Case study: Mortgage for first-time buyer with one year’s accounts and historic adverse

The Problem

A first-time buyer with five defaults (the last one registered in December 2012), needed to borrow £156,250 at 85% LTV. After being turned away by their bank, they approached a Mortgage Adviser to find out if they could help.

The Mortgage Adviser felt confident that a handful of high street lenders may see past the historic adverse but when conducting the Fact Find they found that the client had only been working as a self-employed tradesman for less than two years and therefore only had one year’s accounts.

Unsure if any lenders would consider this additional factor, knowing the affordability of the loan would come into question if the customer’s profits were to decrease, he contacted Ingard’s Team to see if any of the specialist lenders who they work with could assist.

The Solution

Ingard’s internal Mortgage Adviser, Gill Ray, discussed the client’s circumstances and requested the Mortgage Adviser to send across a copy of their Fact Find and all of the documents they had collected so far. After carefully reviewing the client’s accounts, credit report and bank statements, Gill felt confident that the customer would be able to obtain a mortgage through Pepper Homeloans.

Gill discussed Pepper’s mortgage range with the Mortgage Adviser and the client. After receiving a positive response from both, she submitted a Dip to the lender which passed straight away. Pepper Homeloans sent Gill a shopping list which she then in-turn requested from the client. Once Gill had received all of the documents back, she proofed them to ensure the mortgage would still fit on the lender’s criteria and then uploaded them onto the lender’s system.

Pepper Homeloans carried out full underwriting prior to valuation and as soon as the valuation report was received, the lender issued an offer. Within 15 working days, the case went from application to mortgage offer, proving that specialist cases don’t need to be complicated, providing you choose to work with an experienced team and no-nonsense lenders.

On completion, the proc fee and broker fee was split with the introducing Mortgage Broker.

Here to Help

For help placing a case, contact our Specialist Lending and Protection Team:
call us on 01702 538 800 or email