Is it possible to obtain a mortgage when in an IVA

[dandt]

Is it possible to obtain a mortgage when in an IVA, if so what would be the greatest possible %age allowed to borrow?

[iva experts]

Welcome to the Forum Dandt,

It is possible to obtain a mortgage whilst in an IVA, however before doing this you would need to consult your I.P and get their express permission to do so.

Also if you are in an IVA your credit report will show this which will mean that most High St lenders will need want to give you a mortgage due to the risk. However in saying this you can go to a specialist mortgage broker who can try and get you a mortgage from the sub-prime lender market.

[Oliver]

It is possible but you will need the express permission of your IP and also you will likely need a deposit which will have to be funded by a third party.

As to the likely percentage available I would estimate that this is likely to be limited to c85% of the value of the home but I will let the many mortgage experts who post on this site regularly pick that one up!

[Adam Davies]

Hi
A reply to an earlier post from forum expert Tony Parsons

Recently there have been quite a few questions posted on the same theme concerning getting a mortgage or remortgage whilst in an IVA.

The first point if you are in an IVA is to contact your IP and fully discuss your position and your intentions.

You have to have your IP`s permission to take the procedure any further towards mortgaging.

If you have the permission to pursue mortgage funding then it is possible to obtain a mortgage whilst in an IVA, the criteria being that you have "satisfactorily conducted" your IVA. This area of conducted satisfactorily is obtained from your IP as a reference. All lenders that I have known have always requested this information if the applicant is in an IVA.

There is a standard question on mortgage application forms asking if you have been party to an IVA. As an applicant you have a duty of disclosure of information to the prospective lender and the broker will ask you this question.

An important part of the questions posted concern lenders and rates available to you.

Each case is viewed on it`s own merits and the rates allocated (after a credit search was done, with your permission) would be baased on the outcome of the search and because 2 different individuals have IVA on their credit file it does not mean they will be offered the same interest rate. There is a multitude of other important pieces of information that would relate to their own individual case and hence the rate applicable to them.

The lenders may not be high street names nor have a high street presence, but in some instances are lending arms of major high street financial institutions.

They as lenders have to abide by the same rules as other lenders and therefore you shouldn`t be at any greater risk with them. The rates they offer could well suprise you as to how competitive they can be when compared to lenders you are more au fait with.

The specifics of what you can do will come from the IP but there can be options available to you with your IP`s permission.

Hope this is of help.Tony

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