SPECIALIST SOLUTIONS
Getting a Mortgage After Repossession
A repossession doesn't have to be a permanent barrier to homeownership. With time and the right lender, a new mortgage is often still possible.
Understanding Mortgages After Repossession
Having a property repossessed is one of the most serious entries that can appear on a credit file, and it understandably feels like it could close the door on homeownership for good. The good news is that this isn’t the case. A number of specialist lenders will consider mortgage applications from borrowers with a repossession in their history, provided certain conditions are met.
A repossession typically remains on your credit file for six years from the date it was registered. During that time, and often for a period afterwards, your options will usually be more limited and may require a specialist lender rather than a high street bank. As the years pass and you rebuild a track record of managing your finances well, more options tend to open up.
What Lenders Look At
Time since the repossession. The longer ago it happened, the more lenders are typically willing to consider your application, and the better the rates you’re likely to be offered.
What caused it. Lenders may want to understand the circumstances, such as job loss, illness, or relationship breakdown, and whether those circumstances have genuinely changed.
Your deposit. A larger deposit, often 20-25% or more, significantly improves your chances and widens the pool of lenders willing to consider you.
Your track record since. A clean credit history in the years since the repossession, with no further missed payments or defaults, is one of the strongest factors in your favour.
Current income and affordability. As with any mortgage application, lenders need to see that you can comfortably afford the repayments today.
How We Can Help
Repossession cases are sensitive and every situation is different, which is why they benefit from an adviser who understands which lenders are realistically likely to say yes. We’ll talk through what happened, when, and your current circumstances, then match you with lenders whose criteria fit your situation — rather than applying speculatively and risking further marks on your credit file from declined applications.
Repossession Mortgage FAQs
How long after a repossession can I get a mortgage?
There’s no fixed rule, but most specialist lenders want to see at least 1-3 years since the repossession, with options generally improving the further away from it you get. Some lenders may consider applications sooner with a larger deposit.
How much deposit will I need?
Most lenders in this space ask for a deposit of at least 20-25%, though this varies depending on how long ago the repossession occurred and your overall circumstances.
Will I pay a higher interest rate?
Likely, at least initially. Specialist lenders price for risk, so rates are typically higher than mainstream deals. As time passes and your credit file improves, remortgaging onto a better rate often becomes possible.
Does it matter if the repossession was on a mortgage or a Buy-to-Let property?
It can do. Some lenders treat Buy-to-Let repossessions differently to residential ones. Tell us the details and we’ll identify lenders whose criteria are the best fit for your specific situation.
Ready to Explore Your Options?
Get a confidential, no-obligation assessment of your mortgage options after a repossession — handled sensitively, with no judgement.