Can I get a mortgage after Bankruptcy?

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Article created by Christian Duncan, Director – Mortgage and Protection Adviser
Last updated 22nd December 2023

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Securing a mortgage after Bankruptcy

Navigating the complexities of acquiring a mortgage after bankruptcy can often be a daunting prospect. The shadows cast by previous financial difficulties may seem to obstruct the path to homeownership. However, with the right specialist advice, overcoming the hurdles of past bankruptcies is not only possible but can also lead to a successful mortgage application.

In this comprehensive guide, I’ll explore the ins and outs of securing a mortgage post-bankruptcy, demonstrate the power of expert brokers in your corner, and illuminate the steps required to enhance your creditworthiness, paving the way toward securing your next mortgage after bankruptcy.

Understanding the Possibility of a Mortgage After Bankruptcy

The blunt truth is that bankruptcy can significantly impact your mortgage applications. However, a bankruptcy filing is not an absolute barrier to obtaining a mortgage. Specialist lenders and a knowledgeable mortgage advisor can be pivotal in helping you secure a mortgage, albeit you will need to tread a more careful and considered path.

Times a great healer when trying to secure a mortgage after Bankruptcy

Time plays a vital role in your journey toward mortgage eligibility post-bankruptcy. Generally, the longer the period since you’ve been discharged, the more options will become available to you. Typically, a wait of three years post-discharge is required by most lenders before they would consider your mortgage application favourably.  That being said there are mortgage lenders that will give you a mortgage following on from bankruptcy discharge. 

Your Step-by-Step Guide Through the Mortgage Maze

  1. Starting Point: Seek a Specialised Mortgage Broker
    Engage with a mortgage broker who excels in handling cases with credit difficulties. Their expertise can make a significant difference. 
  2. Gather Your Credit Reports
    Obtain a detailed look at your credit standing through a credit reporting service like checkmyfile. Having a broker help you interpret and improve these reports can prove invaluable.
  3. Identifying Willing Lenders
    A proficient broker has the knowledge and networks to target lenders who are more receptive to post-bankruptcy applications.  A mortgage broker who deals with this kind of case day in day out will have built relationships in the right places. 
  4. Securing Favourable Rates
    Brokers often have exclusive access to deals that might be beyond the reach of the public.  When a client has previously been bankrupt, you can’t expect to get the most competitive rate due to the risk you pose to that lender.    

Lenders’ Perspectives

  • Nationwide
    Displays openness to considering applicants three years post-discharge with a senior underwriter’s approval.

  • Skipton Building Society
    Normally reluctant, yet open to broker referrals after a similar three-year timeframe.

  • Aldermore
    Offers variations of mortgage products based on the period elapsed since discharge, looking for stability in your financial conduct during that time.

Impact of Current Economic Climates

It is vital to remember that lending criteria are subject to change, especially during periods of economic fluctuation. Therefore, maintaining up-to-date knowledge of the financial landscape is crucial for a successful mortgage application. 

Mortgage Eligibility and Affordability Post-Bankruptcy

Your past bankruptcy will impose stringent review criteria on your application. Among the factors considered will be:

  • Reasons for Bankruptcy
    Lenders might delve into the circumstances that lead to your financial restructuring.
  • History of Debt
    A deep dive into your financial past, looking for red flags, will be a standard part of the assessment process.

Assessing Your Application

  • Affordability Check
    The income multiples used to determine how much you can borrow may be more conservative.
  • Deposit Requirements
    The size of the deposit required often correlates with the time elapsed since your bankruptcy discharge. Expect higher deposit demands the closer you are to your discharge date.
  • Employment History
    Stable, continuous employment becomes more critical when you’ve declared bankruptcy in the past.

How to Enhance Mortgage Approval Chances After Bankruptcy?

  • Credit Report Monitoring
    Remain vigilant about your credit status, seeking to correct inaccuracies and outdated information.
  • Manage Outstanding Debts
    Settling debts can boost your creditworthiness.
  • Patience is Virtuous
    Time not only heals your financial wounds but might help you build a larger deposit.
  • Broker Collaboration
    Their guidance is instrumental when navigating the intricate landscape of post-bankruptcy mortgages.

Exploring Buy-to-Let (BTL) Mortgages and Government Schemes

Securing a BTL mortgage after bankruptcy carries its own set of challenges, often requiring a larger down payment and a waiting period of at least three years post-discharge. Lender’s criteria is changing all the time so it’s always worth booking a call and discussing your circumstances with a mortgage broker. 

Rebuilding Your Financial Foundation

To restore your credit, it’s crucial to:

  • Maintain Prompt Payments: Ensure all bills and existing loans are paid on schedule.
  • Keep Credit Usage Practical: Don’t overextend your financial obligations.
  • Get on the Electoral Roll: This simple step can positively impact your credit rating.


The Value of using a specialist Mortgage Broker who specialises in Bankruptcy and Bad Credit Cases.

A broker’s insight can prove indispensable, particularly for navigating the post-bankruptcy mortgage landscape. Choosing to engage with a broker could be the best step towards a successful mortgage application.  Speak with your broker about previous cases and success stories.  They should be able to discuss hurdles they’ve come up against in the past and explain how they’ve navigated them to help previous clients. 


While past financial troubles may pose a challenge, obtaining a mortgage after bankruptcy is still within reach. With a combination of time, expert mortgage advice and diligent credit management, the path to homeownership remains open to you.


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