Refused a Mortgage? - Options of things to do.

Getting refused a mortgage is not the end of the world. Also, it is unlikely to adversely affect your credit rating. It is not like applying for a credit card. Often getting refused for a mortgage simply means that you haven’t got sufficient income to get the desired amount of mortgage.

Things to do if refused a mortgage

1. Apply at an online search.

Many mortgage sites offer the opportunity to search through a variety of mortgage options. Often the high street mortgage lenders are the most strict in their mortgage criteria,

2. Check mortgage deals which specialise in bad credit.

Although lending from sub prime mortgage deals is becoming more difficult, some companies have a different approach and may be willing to give mortgages to those on low income.

3. Try a different type of mortgage.

E.g. if it is a 50 year mortgage you have a better chance of making the mortgage payments affordable.

4. Rent and save a deposit.

- With the prospect of falling house prices there is no harm in spending some time renting and saving up for a deposit. By saving for a deposit, you will increase your chance of getting a bigger mortgage, especially if you are aiming for a self certification mortgage.

5. Lower Your expectations.

If you are aiming for a certain house, it may be advisable to look around and see whether you can find a house for a cheaper price range. For example, move to a cheaper area.

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