Updated: December 10, 2021

Getting a Mortgage With No Credit History

Looking for a mortgage with no credit history? Read our guide to find out what options you might have.

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No impact on your credit score

Pete Mugleston

Author: Pete Mugleston - Mortgage Expert

Updated: December 10, 2021

There are many reasons someone might not have a credit history. They may have recently moved to the UK, they may be a student just entering the workforce, an expat returning home, or they may be living with their parents. Either way, if you’re looking for a mortgage, there might be options available.

In our guide to getting a mortgage with no credit history, you’ll learn when this is possible, how to go about it and where to turn for the right advice.

Can you get a mortgage with no credit history?

Yes, it’s possible but with no traceable credit record lenders will subsequently need to be much stricter when assessing your application. In particular, they will want to place much more focus on your ability to meet the monthly repayments and the size of your deposit.

This is where a mortgage broker who specialises in helping people with low or no credit history mortgages, can be invaluable. They will already know which providers tend to look more favourably on applicants in these circumstances and find you the best deal available.

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How to get a mortgage with no credit history

If you have no credit history, there’s a few simple steps you can take to improve your chances of getting a mortgage. Here’s how we recommend you do it…

Step 1. Build up your credit score and check your reports.

The section below deals with this in more detail but, in short, try and take every opportunity to build up your credit score before you apply. This needs time and patience but will pay huge dividends in the long run.
Make sure you’re on the electoral roll where you live, apply for low level credit facilities (mobile phone contracts etc.) and make sure all your bills are paid on time and up to date.

In addition, keep a regular eye on your credit records so you can see how well you’re doing as your score increases. Be sure to challenge any inaccuracies and remove any incorrect information. You can download your credit reports through our dedicated credit reports hub.

Step 2. Prepare all your documents.

Having all the necessary documentation ready and prepared will save you a lot of time and stress when you come to lodge your application.

You’ll certainly need copies of your last three months’ bank statements, proof of your current address and evidence of earnings (payslips, certified accounts if you’re self-employed etc. ) You’ll find a full list of the paperwork you’ll need in our complete guide to mortgage applications.

Step 3. Speak to a specialist mortgage broker:

Once you’ve got your documents ready, the next step is to speak with a mortgage broker who specialises in customers with no credit history.

A broker will be able to guide you through the application process, from start to finish. They’ll also be able to identify which lenders are best placed to consider your case, based on your existing circumstances.

We offer a free, broker-matching service, that will quickly assess your needs and circumstances, and then pair you with a mortgage advisor who’s ideally placed to help you – Make an enquiry to get started.

How to build your credit score for a mortgage application

Building your credit score is not as hard as it might seem. Most people can build up an acceptable credit rating in as little as three months.

Here’s a few actions you can take straight away which should give your score an immediate boost:

Bullet Tick Check you’re registered on the electoral roll at your current address
Bullet Tick Take out a low value credit card
Bullet Tick Get a store card
Bullet Tick Take out a mobile phone contract
Bullet Tick Make sure your name is on all of your utility bills
Bullet Tick Pay all of your bills on time each month

When it comes to credit cards, make sure you pay out the balance in full and use the card for essentials only, such as fuel, groceries etc and avoid buying luxury items. This will show the lender that you are financially responsible.

How much deposit do you need?

The larger the deposit you can put down, the better your chances of securing a mortgage. This is particularly relevant if you currently have no credit history. So, the best advice is to get saving right away!

As a minimum target, you should aim to have between 20%-25% deposit but it’s definitely worth talking to your broker to see if they’re aware of any lenders who may accept a lower amount.

Are there mortgage lenders who don’t credit check?

No, all lenders will carry out some form of credit check as standard practice, but not all of them use the same system.

Most providers use automated mortgage application processes, so you will need to find a lender who is willing to use a much more time-consuming process called ‘manual underwriting’.

Mortgage providers tend to offer unfavourable interest rates to applicants with no credit history, so it’s important that you find the right lender from the outset, as too many applications can be detrimental to your credit score.

Here’s a list of lenders, for example, who will review applications on a case by case basis, which should improve your chances of success if you can provide enough background information:

Bullet Tick Accord Mortgages
Bullet Tick Barclays
Bullet Tick Halifax
Bullet Tick Natwest
Bullet Tick Santander

Whilst there’s some pretty well-known names here, rather than approaching a lender directly, it’s usually much smarter to speak with a broker first. They can help prepare your application and ensure it documents everything correctly.

Why use a specialist zero-credit mortgage broker?

As you can see, there are some obstacles to overcome when applying for a mortgage with no credit history, but it’s not impossible. If you meet the providers criteria outlined above, it’s possible to be able to apply for a mortgage, even without a credit rating.

But it is essential that you talk to a mortgage broker who is a specialist in finding mortgages for people with little or no credit history.

They will help you find a mortgage deal that suits your own individual financial circumstances. Make an enquiry and we’ll match you with a broker who specialises in customers with little-to-no-credit history today.

Ask a quick question

We can help! We know everyone's circumstances are different, that's why we work with mortgage brokers who are experts in bad credit mortgages. Ask us a question and we'll get the best expert to help.

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Pete Mugleston

Pete Mugleston

Mortgage Expert

About the author

Pete, an expert in all things mortgages, cut his teeth right in the middle of the credit crunch. With plenty of people needing help and few mortgage providers lending, Pete found great success in going the extra mile to find mortgages for people whom many others considered lost causes. The experience he gained, coupled with his love of helping people reach their goals, led him to establish Online Mortgage Advisor, with one clear vision – to help as many customers as possible get the right advice, regardless of need or background.

Pete’s presence in the industry as the ‘go-to’ for specialist finance continues to grow, and he is regularly cited in and writes for both local and national press, as well as trade publications, with a regular column in Mortgage Introducer and being the exclusive mortgage expert for LOVEMoney. Pete also writes for OMA of course!

FCA Disclaimer

*Based on our research, the content contained in this article is accurate as of the most recent time of writing. Lender criteria and policies change regularly so speak to one of the advisors we work with to confirm the most accurate up to date information. The information on the site is not tailored advice to each individual reader, and as such does not constitute financial advice. All advisors working with us are fully qualified to provide mortgage advice and work only for firms that are authorised and regulated by the Financial Conduct Authority. They will offer any advice specific to you and your needs.

Some types of buy to let mortgages are not regulated by the FCA. Think carefully before securing other debts against your home. As a mortgage is secured against your home, it may be repossessed if you do not keep up with repayments on your mortgage. Equity released from your home will also be secured against it.

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