There are some things you can do to try and make sure your application goes without a hitch next time around.
Don’t give up
Firstly, don’t give up! A mortgage is a huge step to make, both for yourself as a homeowner and the lender. The more stability you can show them in your financial life, the better your chances of being accepted.
Check your credit report
There are three versions of your credit history on file, held by each of the UK’s three credit reference agencies:
- Equifax
- Experian
- TransUnion
Different lenders might use different agencies to assess your credit score. Your lender will tell you which agencies they have used and how to contact them. Before you apply again, it might be worth going to all three to check your credit report and score, as all are assessed differently. Learn how to check your Transunion credit score with Halifax.
Check carefully whether there’s anything you might have missed in your application, or anything that would make a lender think twice.
If there’s anything on these reports you’re unsure about, or feel is unfair, you can contact the agency to try and fix it.
Make some changes
Armed with your credit score and results, make sure your application and credit report are the best they can be.
That means paying off larger debts, updating your information and making sure you don’t miss a payment on other things like small loans, TV subscriptions or your mobile phone contract. Find out how to improve your credit score to help your chances of being accepted for a mortgage.
Rethink your borrowing
It’s worth having another look at what you can afford. Are you stretching your finances too far aiming to land that extra bedroom?
Consider whether you can give yourself a bit more wiggle room on monthly repayments. This could mean increasing your deposit or borrowing less by choosing a home that’s less expensive.
Once you’ve thought about all these steps and taken some time to sort out any problems, you’ll be ready to make another mortgage application.