Wednesday, July 20, 2011

Is it possible to get a mortgage on a very low income?

I own my own house and have about 60k equity. I need to move because of serious problems with neighbours. I am a single parent with a 12 year old Daughter. I owe about 70k on my mortgage and am looking to pay it off and then start again with probably exactly the same amount. I was previously working full time and earning a lot of money but due to stress levels I had to resign from my job. After a short break on benefits I have started my own business but am earning a third of what I was before and it is topped up by tax credits. I am however like a new person and have never been happier. I have not missed a payment since my circumstances have changed thus proving that I am still able to pay my mortgage, however I am convinced that they would only look at what I am earning now and probably only offer to lend me about �20k if I am lucky. Also I defaulted on a loan, however I have an arrangement with the bank and am paying them a token amount every month, will this also go against me. Does anyone know if there are companies that will deal with people in my situation. Im scared that i'm going to be stuck in this house forever!!!! please help!!!!

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