Location: Surrey

Loan Amount: 50% LTV

Finance Category: Residential Mortgage

The Story

At Fox Davidson, we understand that every client has unique circumstances and requirements when it comes to securing a mortgage. We pride ourselves on our ability to provide tailored solutions for those with complex financial situations, including clients with adverse credit histories.

Recently, we had the pleasure of working with a dentist who had some late adverse credit but had managed to save up a substantial 50% deposit for the house they wished to purchase in Surrey. The client had previously been declined by a private bank, which left them feeling disheartened and unsure of their options. However, after contacting Fox Davidson, we were able to help the client secure the mortgage they needed to make their dream of owning a home a reality.

The Challenge

The key to our success in securing this mortgage for the client was the large deposit they had saved up. When it comes to lending, lenders always assess the level of risk involved in the transaction, and one of the factors that help them feel comfortable is a substantial deposit. A large deposit is beneficial for several reasons. Firstly, it reduces the amount of money the client
needs to borrow, which, in turn, reduces the level of risk for the lender. A smaller loan amount also means lower monthly repayments, which increases the likelihood of the borrower being able to meet their financial obligations.

Secondly, a large deposit demonstrates the client’s commitment to the investment, and that they have a strong financial position to support their application. It shows that they have been able to save a significant amount of money and are likely to continue to do so, giving the lender confidence in their ability to meet their financial obligations. At Fox Davidson, we understand that a poor credit history can be a significant obstacle when it comes to securing a mortgage. However, we also know that it is not necessarily the end of the road. Our expert team of mortgage brokers has extensive experience in helping clients with complex financial situations, and we pride ourselves on finding solutions where others can’t.

The Solution

In this case, we were able to secure a mortgage for our client by working with a specialist lender who was comfortable with their financial position, despite their adverse credit history. Our team worked tirelessly to find the best solution for the client, negotiating with the lender to secure the most favourable terms possible.

In conclusion, a large deposit is one of several important factors that can help a lender get comfortable with lending to a client with adverse credit history. It demonstrates the client’s commitment and financial stability and can significantly reduce the level of risk for the lender. At Fox Davidson, we pride ourselves on finding tailored solutions for clients with complex financial situations, and we are always ready to help those who have been declined by traditional lenders.

To discuss your mortgage requirements with the team at Fox Davidson please do get in touch.