Changes to lending criteria for right-to-buy mortgages could benefit potential homeowners.
Recent changes in lending criteria for the Government’s right-to-buy scheme means that it’s now possible for council and housing association tenants with a less than perfect credit profile are able to obtain a right-to-buy mortgage in the following circumstances:
Right to buy with bad credit:
Issues in the last 12 months
Low credit score
Recent County Court Judgments (CCJs)
Debt management plans
Right to buy if self-employed:
New business (trading 12 months)
Use latest years figures
Use retained profits
Use dividends & salary
Contractors considered on day rate
Many other scenarios
There’s no catch involved - it simply allows creditworthy tenants the chance to buy their property, sometimes with massive discounts and without a deposit.