It is estimated that a quarter of the UK population experience problems when applying for mortgages because of bad credit. Back in the time when only a small number of lenders offered mortgages to the general public, a bad credit file proved an insurmountable problem. Credit impaired applicants were turned down immediately by high street lenders and the affected potential home owners had nowhere else to turn.

These days, however, there are many different bad credit mortgages available from various lenders that are aimed at helping people with bad credit get a foot on the property ladder or refinance their home and fix their bad credit file. The home loan market has expended considerably in recent years so it is not as exclusive as it once was.

Bad credit mortgages can often provide finance in problem situations where traditional high-street lenders cannot help. Bad credit mortgages are available for both purchasing and remortgaging property and are offered in a wide variety of situations. The severity and number of impairments will have a bearing on exactly which products are available to each individual borrower but there should be at least one product to suit each situation.

The term ?bad credit? refers to a situation in which an individual's credit history is imperfect. This can result from a variety of situations, including County Court Judgements, loan defaults, loan arrears, bankruptcy, and subsequent IVAs. It can also result from something as simple as a late payment on a credit card or too many credit searches within a small time frame.

However, bad credit has become so widespread that it no longer means that individuals who suffer from it are automatically removed from being able to apply for a mortgage or remortgage. Dozens of lenders that specialise in bad credit mortgages have appeared on the market in recent years and many of them focus on specific niche markets, such as mortgages for discharged bankrupts.

Because of this, the market for bad credit mortgages is highly competitive and there are many different products available to suit a variety of situations. It is also a complex market so shoppers should beware and seek expert advice before applying for bad credit mortgages.

The terms and conditions vary considerably between products and lenders, so careful research should be conducted in order to find the best bad credit mortgages to suit your individual situation. Some home loan products designed for applicants who suffer from adverse credit can come with large fees and restrictive terms and conditions.

If in doubt, it may be a good idea to contact an independent mortgage broker for expert advice. An experienced independent mortgage adviser should be able to help sort through the maze and choose the right bad credit mortgages for your individual circumstances.

Choosing the wrong product may have an adverse affect on your personal financial situation which could lead to even more bad credit appearing on your credit file if the bad credit mortgage chosen is unaffordable and unsuitable. It is therefore imperative to conduct thorough research before applying for a bad credit mortgage product.