Getting a mortgage after repossession is harder — but far from impossible. There are specialist lenders who look at your current situation rather than just your credit history. Here's everything you need to know.
- Whole-of-market brokers see deals comparison sites never list, especially for non-standard income
- Start remortgage shopping 6 months before your fix ends — you can lock now and switch if rates fall
- Compare total cost over the fixed period — rate plus fees, not headline rate alone
What Actually Moves the Needle
Buying new-build changes the process: developer deadlines (often 28 days to exchange), incentives that lenders may deduct from the valuation, and longer mortgage-offer validity requirements. Tell your broker it's new-build on day one.
Decision in principle first, property search second. It's a soft-search estimate of your borrowing power that strengthens any offer you make, and it surfaces problems months before they can derail a purchase.
Can I Get a Mortgage After Repossession?
Yes. While high-street lenders may decline your application, specialist and adverse credit lenders consider applications from people who have experienced repossession. The key factors are: how long ago it happened, your current financial situation, and the size of your deposit.
How Long Do You Need to Wait?
The impact of repossession on your mortgage application typically diminishes over time. Most specialist lenders will consider applications from 1-3 years after the event. High-street rates become accessible after 6 years when the event drops off your credit file.
Best Specialist Lenders (June 2026)
| Lender | Min Deposit | Time Since Event | Rate From |
|---|---|---|---|
| Kensington | 15% | 1 year | 5.92% |
| Precise Mortgages | 15% | 1 year | 6.01% |
| Pepper Money | 15% | 1 year | 6.21% |
| Together | 25% | Day 1 | 6.51% |
| Aldermore | 20% | 1 year | 5.82% |
How to Improve Your Chances
- Wait as long as possible after repossession — lenders view time as a sign of recovery
- Save the largest deposit you can — 15-25% will unlock more lenders
- Rebuild your credit score — register to vote, pay all bills on time
- Use a specialist bad credit mortgage broker — they know which lenders will accept you
- Avoid any further missed payments, defaults or County Court Judgements
FAQs
How long does a mortgage offer last?
Typically 3 to 6 months depending on the lender. New-build purchases often get extended validity because completion dates slip.
What is loan-to-income and how much can I borrow?
Lenders cap borrowing at 4.49x income for most applicants. Some banks stretch to 5.5x for qualifying professions or joint incomes over £60,000.
What fees should I budget for beyond the deposit?
Expect £1,500–£3,500 covering valuation, legal work, searches and any lender arrangement fee. Stamp duty applies above the current threshold.
Can I overpay my mortgage?
Most fixed deals allow 10% overpayment per year without penalty. Even £100 a month can cut years off a 25-year term.
Do I need a mortgage broker?
You don't have to use one, but a whole-of-market broker sees deals that never appear on comparison sites, and knows which underwriters accept your income type. Many are fee-free and paid by the lender.
Will applying for a mortgage hurt my credit score?
A decision in principle usually uses a soft check, which leaves no mark on your score. The full application is a hard check — which is why you should pick your lender before applying, not after.
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