What is a sub-prime or adverse credit mortgage?
People who have had credit problems in the past, or who can’t prove their income, can struggle to find a mortgage on the high street. The “non-conforming” or “sub–prime” mortgage market is an alternative option for people who have had mortgage arrears or County Court judgments (CCJs) in the past. People who have been self-employed for a short while and don’t have the accounts to back up their application might also have to turn to the non-conforming market. These loans, though, generally cost more than standard mortgages so before you go to a sub-prime lender, it might be worth going to a mortgage broker who might be able to negotiate a better deal.
