Buy to Let • Bad Credit
Already own a rental and worried bad credit will block your remortgage? It’s often still possible — especially if you’ve built equity and your rental income is strong.
Shortcut: See our full guide → Buy to Let Mortgages with Bad Credit.
Why Remortgage a Buy to Let?
- Lower monthly costs by switching to a better rate.
- Release equity for deposits on further properties.
- Raise cash for refurbishments or improvements.
- Switch lenders if your current one no longer fits your plans.
Can You Remortgage with Bad Credit?
- High street banks: Almost always say no where there’s bad credit.
- Specialist lenders: Focus more on your equity and rental income than your score.
Equity & Deposit Rules
| Scenario | Typical Requirement |
|---|---|
| Standard remortgage | ~25% equity (75% LTV). |
| With bad credit | 30–40% equity (60–70% LTV) often required. |
| More equity | Usually = broader lender choice and sharper rates. |
How Different Bad Credit Issues Are Treated
| Credit Issue | Remortgage Options |
|---|---|
| Defaults | Small/historic often okay; recent big defaults harder. |
| CCJs | Some lenders allow, especially if older or satisfied. |
| IVA | Usually okay once settled; sometimes sooner with strong equity. |
| DMP | Active plans accepted by some if payments are consistent. |
| Bankruptcy | Must be discharged; typically 3+ years before consideration. |
Case Studies
Case A — Defaults, 65% LTV
Jake had defaults from 2021 but also 35% equity. A specialist lender approved his remortgage at 65% LTV.
Case B — CCJ Remortgage
Emma had a 2019 CCJ. With 40% equity and strong rental yields, a niche lender accepted her application.
Tips for a Successful Bad Credit Remortgage
- Check your credit file — know what’s showing before you apply.
- Keep recent history clean — avoid new missed payments.
- Build equity — a lower LTV makes approval much easier.
- Have rental evidence ready — tenancy agreements or agent letters.
- Work with a broker — many bad-credit lenders are broker-only.
Check all three credit files in one place
Use our partner link to view your data across agencies. This won’t harm your score.
FAQs — Buy to Let Remortgage with Bad Credit
Can I remortgage if I’ve got defaults?
Yes, if you’ve got strong equity and rental cover.
Do CCJs need to be satisfied?
Not always, though it helps.
Can I release equity with bad credit?
Yes, but lenders may limit the amount.
Do I need 40% equity?
Not always — but the worse your credit, the more equity you’ll need.
Will high street banks accept me?
No — you’ll likely need a specialist lender.
