Bad Credit Is Not A Big Obstacle In Mortgage Approval With Good Income

There is no second thought on the fact that bad credit situation is always annoying. You really cannot cope up with it without effective methods. When it comes to taking a mortgage with bad credit, your anxiety reaches its height. That is very natural, but you know what, the factor of good income can nullify all your stress on the approval chances. 

There are undoubtedly other factors that are necessary to bring into notice as they bring approval with the excellent income factor.

The advanced FinTech industry is not a slave to credit history criterion

Yes, this is right. The lenders nowadays are new-age lenders, and they believe in your repayment capacity and not on credit history. Any past financial mistake is terrible, but if today you have an excellent ability to pay a big loan like a mortgage, you can take funds. 

The approval is not impossible to attain for someone who is performing well in current finances. Make sure your current payments go on time. Also, do not apply for any new loan, as you need to keep space to adjust the huge mortgage. 

Don’t forget the big deposit factor that pairs with good income strength

Oh yes! How can we miss the fact that those applicants who can give a considerable deposit amount can expect to get approval? For the poor credit score people, the deposit amount is a minimum of 10 to 15% of the total property value. 

If you want to buy the property, create a significant nest egg that covers at least 20 – 25% of the property price. Then you can easily make the lender believe that credit score sometimes is just a number. The actual capacity reflects in money because it is the supreme power. 

Show improvement in recent financial behaviour

Recent activities in your finances have the most significant effect on mortgage chances. You may have a poor credit rating, but if you have improved your current financial behavior, the lender gets good vibes. Everyone knows even lenders that mess happens. If your credit history is not consistent and has not extended to the current time, you can always expect a good result on your loan request. Always pay heed to your current spending habits. Do not spend too much on things like movies, holidays, etc. as it shows you irresponsible. 

Get on the electoral roll with the current address

You make a big mistake if you do not get yourself registered on the electoral roll. Perhaps, there is no need to tell you the importance of a government document. It is essential to be seen there as the mortgage lenders may verify your identity from there. 

If you have not updated your name with your current address, you may face a refusal. Register online or contact the local authority, and they will help you. Sometimes simple things become most important. Even a good credit score person should have his name on the electoral roll. If you are not here, also a good income factor may act weak. 

Rent history is important 

A person who wants to buy his property should at least be able to manage his rental house. Rental history always comes under the keen eyes of the lenders. They want to see if the person can replace the rent from the mortgage installments or not. The record of the last 24 months is vital. Any delay here can put you in great difficulty with the approval part. 

The rental agreement should also be there as that is the first proof that you are paying rent for the actual property. The lenders may also talk to your landlord at the time of home verification. Make sure you maintain good terms with your property owner. Even the image of the mortgage applicant is an essential factor for you. If people tell that you are a quarrelsome person and gives rent on time but only after a fight every month, this may be an invitation to rejection. 

Do not wander here and there to find lenders hire one broker

Applying to many lenders and that too at the same time can be like financial suicide. Multiple applications to the lenders only make the situation worst. The many search footprints made by the mortgage providers due to credit check. 

Find a broker as it can save you from all the chaos and confusion. It has a vast reach and knows which lender exactly offers funds to the poor credit score people. You get someone who can bargain on the interest rates, tenure, loan amount, repayment plans according to your affordability. 


The above points are sufficient to make you understand how to get a mortgage with bad credit but good income. If you pair all the above points with the stable income status, you can surely get the approval. It is not a false hope but a practical reality which many has experienced on their mortgage application. You need to walk in the correct direction, and the result is sure to show as you deserve and desire. Efforts never go useless, and they always reciprocate with something positive and promising. 

Description – Read some crucial points that show you the other side of the coin, which tells how you can get a mortgage despite bad credit situations with a good income. 

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