Hi there
My husband and I are currently paying our debts back through the Debt Arrangement Scheme in Scotland (DAS) which we have been doing so for a couple of years - we currently have about another 18 months to go. We have our house up for sale at the minute and we are hoping that once it has sold we can pay off the DAS in full which would clear any debts that we have allowing us to start afresh.
We would really love to buy another property, however I'm not sure if anyone will give us a mortgage despite being debt free at that point? I'm not sure how long it would take for our records to become clear of any previous bad debt information etc?
I was told that there was specialist reputable lenders that we could obtain a mortgage with, however I have asked a local broker for some help with this and their reply was:
"One or two say they will consider after 3 or 4 years but realistically they won't consider lending until the file is clear which is 6 years after the end of the agreement.
Unfortunately this means you wouldn't be able to get a mortgage for some time - they won't even consider someone guaranteeing the borrowing. The best you can do is try to get as big a deposit as possible and look to buy in six years."
Is this really our only option?? Any help/advise would be much appreciated!!
My husband and I are currently paying our debts back through the Debt Arrangement Scheme in Scotland (DAS) which we have been doing so for a couple of years - we currently have about another 18 months to go. We have our house up for sale at the minute and we are hoping that once it has sold we can pay off the DAS in full which would clear any debts that we have allowing us to start afresh.
We would really love to buy another property, however I'm not sure if anyone will give us a mortgage despite being debt free at that point? I'm not sure how long it would take for our records to become clear of any previous bad debt information etc?
I was told that there was specialist reputable lenders that we could obtain a mortgage with, however I have asked a local broker for some help with this and their reply was:
"One or two say they will consider after 3 or 4 years but realistically they won't consider lending until the file is clear which is 6 years after the end of the agreement.
Unfortunately this means you wouldn't be able to get a mortgage for some time - they won't even consider someone guaranteeing the borrowing. The best you can do is try to get as big a deposit as possible and look to buy in six years."
Is this really our only option?? Any help/advise would be much appreciated!!