GUIDES
Mortgage After
Repossession - GoMortgage®
Lost your home once? That doesn’t mean you can never get a mortgage again.
If you’ve experienced a home repossession, it can feel like your chances of getting back on the property ladder are over. But the truth is: you can get a mortgage after repossession especially if you work with the right broker and rebuild your story.
At GoMortgage, we specialise in helping clients rebuild from tough pasts.
We Are Partnered With
Bad Credit Mortgages
What is a repossession?
A repossession happens when your lender (after due legal process) takes ownership of your property because the mortgage payments weren’t being met. It leaves a mark on your credit record (up to around six years) and many lenders treat it as one of the more serious ‘adverse credit’ events.
Can I get a mortgage after repossession?
Yes – in many cases. A repossession doesn’t mean you’ll never get another mortgage, but it does mean you’ll need to work smarter. Specialist lenders take account of your full history, not just a tick-box. The Mortgage Centres+1
Your chances increase significantly if you can show:
- A reasonable amount of time has passed since the repossession.
- Your financial behaviour since: no fresh arrears, stable income, sensible spending.
- You have a good sized deposit for your next purchase.
You’re applying with the correct property type for your profile (sometimes flats/new-builds have stricter rules).
Access Your Credit Report
Knowing exactly what lenders see is the first step. Checkmyfile lets you view your full credit picture across all three UK agencies in one place, helping you spot issues, track progress, and avoid surprises before you apply.
What lenders look at when you’ve been repossessed
Some of the key criteria lenders use for these cases:
- Date of the repossession: The more recent, the tougher the criteria.
- Reason for the repossession: Was it due to job loss, illness, relationship breakdown, or mis-management? Context matters.
- Amount of deposit: Lenders will want to see a bigger deposit as you are now classed as a higher risk.
- What you’ve done since: Have you shown consistency in payments, no fresh defaults, and savings/behaviour that reflects responsibility
- Property & loan-to-value: More equity equals less risk for the lender
How long should I wait after repossession?
Here’s a typical guide (every case is different):
- Less than 2-3 years since repossession → Very limited options; large deposit needed.
- Between 3-5 years → More lenders open up; still expect higher rates and stronger deposit/equity.
- 5+ years (especially 6+) → Much closer to normal lending criteria for many specialist lenders.
Again, the stronger your behaviour since the event, the more favourable a lender will view you.
What deposit and rates Should I expect?
• Because of increased risk, lenders typically require a larger deposit or equity than standard cases.
For example, if a prime borrower might need a 5% deposit, a post-repossession case might need 20–30% or more depending on how recent the issue was.
• Interest rates will usually be higher than mainstream cases, at least initially.
We’ll build a plan to help you improve your profile and remortgage later once things are cleaner.
• Property type, loan-to-value, and income stability will all have a bigger impact on your rate than usual.
How GoMortgage helps you rebuild and apply
Here’s how we work with you:
- Credit review – we get the full story of your repossession and your current financial
- Strategic plan – we map out how to present you to lenders and which lenders match your profile.
- Build application – we gather the right documents, show the right story, build evidence of stability/behaviour post-event.
- Submit to specialist lenders – we use our panel of lenders who understand post-repossession situations.
Next-step planning – Once you have contacted us, we will work on an improvement plan so you can move to better terms faster.
Want to get started?
If you’ve had a repossession and want someone who understands your case, call GoMortgage on 01253 935050 or Click For Free Trial.
We’ll look at what you can do, not what you can’t.
Because at GoMortgage, we believe a past event doesn’t have to define your future.
Speak With A Mortgage Advisor today
Contact our friendly mortgage advice team today. Sound mortgage advice from the experts at GoMortgage.
Author: Chris Days Head of Content
- 5 Mins
- Updated: Nov 5 2024
Frequently Asked Questions
Does a repossession stay on my credit file forever?
No. It typically remains for up to six years from the first missed payment that led to the repossession. Some lenders may still ask whether you have ever been repossessed, even after it has dropped off your file.
Will I be stuck with really bad rates forever?
Not necessarily. Your initial rate may be higher, but with time, good financial behaviour and planned remortgaging, your rate can improve.
What if there is a shortfall and I still owe money after the sale?
Outstanding debt after a repossession can complicate things. Lenders will check whether you are still repaying that debt and how it affects affordability. It may also affect how much equity you need to present.
Can I apply sooner if I’ve had a repossession?
Potentially, yes, especially if your situation since the repossession is strong (stable income, clean recent credit, larger deposit). Each lender has different waiting rules, and we will advise you on the right timing.
We Are Partnered With
