There are many common misconceptions surrounding mortgages. From the long-standing belief that borrowers need a perfect credit score to get onto the property ladder, to the assumption that all homeowners need a 20% deposit.
According a newly-released survey (1) of more than 1,000 prospective first-time buyers, misconceptions such as these could be preventing aspiring homeowners from moving forward with their plans. Some may be delaying their purchase because they incorrectly believe they would not qualify for a mortgage.
According to the study, more than half (58%) incorrectly believe having existing debt would automatically stop someone being approved. While many also believe factors such as using an overdraft (40%), receiving benefits (38%), changing jobs recently (31%) or being self-employed (24%) would put homeownership out of reach.
“With the average home in England now costing more than seven times the average income (2) affordability remains one of the biggest for first-time buyers,” mortgage adviser Jo Jingree says. “But this recent survey reveals that misconceptions around mortgage eligibility may be creating an additional barrier entirely.”
To help debunk these myths once and for all, we’ve created a list of things that can hinder you from getting a mortgage and why — plus some tips on how to hopefully overcome them.
Things that can hinder you from getting a mortgage
Impaired credit
Maybe you have missed a handful of credit card payments? Or perhaps you have been issued with a county court judgement?
These series of unfortunate events can affect your all-important credit score — which is what lenders use to help them decide how likely it is that they will be repaid on time if they give you a loan (like a mortgage or credit card).
But while having adverse credit can affect your chances of getting a mortgage, it doesn’t necessarily rule you out from getting onto the property ladder in the future.
“That’s because there are a number of specialist lenders who accept those with low credit scores, defaults, CCJs, mortgage arrears, missed payments, discharged IVAs and bankruptcies,” Jo explains. “So if you’re wondering ‘can you get a mortgage with bad credit? — the short answer to this question is: potentially, yes!
Affordability problems
When taking out a mortgage, you’ll need to know how much you can afford to borrow. How much you earn is a major part of the affordability criteria. But so is the total of all your outgoings — including debts, personal loans, student loans, pension deductions — how your income is made up, how many people are on the mortgage and your all-important credit score.
“Lenders then stress test your finances against higher future interest rates,” Jo says. “That’s because they want to be confident that you can comfortably afford the monthly repayments, both now and if your circumstances or interest rates were to change,” she adds.
So generally speaking, you might run into affordability problems if you have:
- High existing debts
- Low or inconsistent income
- High monthly spending
- A large mortgage request
- Recent financial difficulties
Either way, a mortgage calculator can give you a rough idea of how much you might be able to afford. While a mortgage adviser will be able to give you a more accurate assessment based on your individual financial circumstances.
Lack of deposit
Having a limited deposit can affect your chances of getting a mortgage in several ways.
“Generally speaking, the vast majority of lenders require you to put down some of the property’s purchase price yourself,” Jo says. “That’s because high loan-to-value mortgages generally come with higher interest rates because they represent a much greater financial risk for the lender.”
And higher interest rates mean higher monthly repayments. “This can make the mortgage more expensive overall and can affect how much you’re able to borrow,” Jo says.
That said, in 2026, there are a range of alternative ways to get onto the property ladder — and this includes no-deposit mortgages, like 100% mortgages and low-deposit options, like 99% mortgages.
“These types of mortgages won’t be right for everybody,” Jo says. “But, if eligible, they could provide a solution for borrowers who are struggling to save a deposit,” she adds.
Not being in a permanent job
It’s worth highlighting: not being in a permanent job doesn’t automatically prevent you from getting a mortgage.
“However, it can make it harder,” Jo says. “Lenders want to see that you have a steady income and can keep up with your monthly mortgage repayments. If your employment is less secure, they may take a more conservative view of how much you can afford to borrow.”
But if you’re self-employed, sole trader, company director or contractor, that doesn’t automatically rule you out of buying your first home. Instead, if you’re self-employed and looking to get a mortgage, you may simply need to provide a little more paperwork to support your application.
Now for the good news
Entering the property market for the first time can feel challenging.
“But as a mortgage adviser with nearly 30 years experience, I’ve helped hundreds of first time buyers — including those who are self-employed and/or credit impaired — secure a mortgage,” Jo says.
“I know that no one size fits all which is why I work with each and every client on a case by case basis. Whether you’re a few months away from buying your first home or still working towards your goal, I can help you create a clear plan to put you in the strongest possible position. Just don’t let the fear of rejection stop you from finding out how much you might be able to borrow.”
Keen to find out how much you could afford to borrow? Do get in touch with Jo and book in a free 30-minute no-obligation consultation to talk through your situation.
- https://www.lloydsbank.com/media-centre/2026/are-first-time-buyers-ruling-themselves-out.html
- https://publications.parliament.uk/pa/cm5902/cmselect/cmcomloc/41/report.html#footnote-210
There may be a fee for mortgage advice. The precise amount will depend upon your circumstances, but we estimate it will be £399.
Your home may be repossessed if you do not keep up repayments on your mortgage.
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