Mortgage After an IVA: What You Need to Know

An Individual Voluntary Arrangement is one of the more serious adverse credit markers a lender will see on a mortgage application. That does not mean a mortgage after an IVA is impossible. Thousands of people in the UK each year secure mortgages with an IVA on their credit history. What determines your options is timing, deposit size, and whether you apply through a broker with access to the specialist lender market.

This guide explains how lenders view an IVA, what the realistic options look like at each stage, and what you can do to put yourself in the strongest position.

What Is an IVA and How Does It Affect Your Credit File?

An Individual Voluntary Arrangement is a formal, legally binding agreement between you and your creditors. You agree to repay a portion of your debt over a set period, typically five to six years, and any remaining balance is written off at the end. An IVA is managed by a licensed Insolvency Practitioner and is recorded on the Insolvency Service register.

The IVA is added to your credit file from the date it is approved, not from the date you complete or are discharged from the arrangement. It remains on your credit file for exactly six years from the approval date. A standard five-year IVA means the record will still be visible for approximately one year after you have completed the arrangement.

During those six years, mainstream high-street lenders will typically decline a mortgage application based on automated credit scoring alone. The realistic route to a mortgage runs through specialist lenders who manually underwrite cases and price for the level of risk involved.

Can You Get a Mortgage After an IVA?

Yes. The options available to you depend on how long ago the IVA was approved, whether it has been completed, and the size of your deposit. The lender pool grows as the IVA ages. In the first few years after discharge you are working with a small number of specialist adverse credit lenders. As the IVA approaches and then passes the six-year mark, the options improve significantly.

One factor many people overlook: the vast majority of lenders who will consider an IVA case are broker-only. They do not accept direct applications. Applying directly to a high-street bank, or using a generalist broker without specialist adverse credit experience, will almost certainly result in a decline. Accessing the right lender panel requires a broker with whole-of-market specialist coverage. You can explore our bad credit mortgage options for more context on how specialist lending works.

How Long After an IVA Can You Get a Mortgage?

There is no mandatory waiting period after an IVA is discharged. The question is not whether you can apply but which lenders will consider you and on what terms. Your options improve at two key points: three years and six years from the IVA approval date.

• 0 to 3 years since discharge: A small number of specialist lenders will consider your application. Deposit requirements are typically 20 to 30%. Rates range from approximately 6.5% to 9%. Options are limited but they exist.
• 3 to 6 years since discharge: A much wider panel of lenders becomes available, including specialist and near-mainstream options. Deposit requirements drop to 15 to 20% in many cases. Rates begin to improve as you approach the six-year point.
• 6 years and over (IVA off credit file): With a clean recent credit history, near-standard mortgage products with deposits from 5 to 10% become accessible. The IVA no longer appears on your file, though some lenders ask you to self-declare past insolvencies on their application form. A broker will know which ones and how to navigate this.

The six-year clock starts from the IVA approval date, not from discharge. Someone who completed a five-year IVA and has been discharged for 18 months is still only four and a half years from the approval date. They sit in the middle tier, not the post-six-year bracket. This distinction matters when planning your application timeline.

Can You Get a Mortgage During an Active IVA?

Getting a mortgage while your IVA is still active is possible in limited circumstances, but it requires formal written permission from your Insolvency Practitioner. Taking on any new credit during an IVA without IP consent is a breach of the arrangement and can cause it to fail.

If the IP grants permission, the lender pool is very restricted and rates will be at the higher end of the specialist market. Most people in this situation are better served by completing the IVA first. One practical point worth knowing: if you are in a fixed rate mortgage that is about to expire while your IVA is still active, your existing lender may allow a product transfer to a new rate without a new credit assessment. This avoids a fresh mortgage application while the IVA is live.

What Deposit Do You Need for a Mortgage After an IVA?

Deposit requirements for IVA mortgages are higher than standard, particularly in the early years after discharge. The typical ranges are:

• Active or very recently discharged IVA: 25 to 30% minimum
• 0 to 3 years since discharge: 20 to 25% with most specialist lenders
• 3 to 6 years since discharge: 15 to 20% with a wider lender panel
• 6 years and over (off credit file): from 5 to 10% with select lenders, subject to clean recent credit

A larger deposit does two things. It reduces the lender’s risk and directly influences the rate you are offered. Saving beyond the minimum threshold is one of the most effective things you can do when preparing for a mortgage after an IVA. Every percentage point above the minimum opens more lender options and reduces the interest rate premium you pay.

Joint Mortgages and the Self-Employed Angle

Joint Mortgage Where One Applicant Has an IVA

Most lenders assess the worse credit profile in a joint application. The IVA applicant’s record will dominate the assessment. That does not necessarily make a joint application the wrong approach. If the non-IVA applicant has a strong, clean credit history and combined affordability is solid, a joint application can open more lender options than applying alone.

A broker experienced in adverse credit will know which lenders treat joint IVA applications most favourably and can structure the case accordingly.

Self-Employed with an IVA

A self-employed applicant with an IVA faces two separate layers of complexity. The IVA narrows the available lender pool. The self-employed income assessment then further narrows the options within that pool, because specialist adverse lenders also need to verify income using SA302s, tax year overviews, or company accounts.

This combination is not unworkable. Specialist lenders with experience in adverse credit also have experience with self-employed income verification. But it requires a broker who understands both the adverse credit market and the self-employed mortgage market in equal depth. Using a generalist broker for this type of case carries a real risk of unnecessary hard searches on your credit file and applications placed with the wrong lender.

Can You Remortgage After an IVA?

Yes. The same lender tier model applies to remortgaging as it does to a purchase. The more time that has passed since the IVA approval date, the wider your options.

There is an important distinction for existing homeowners. If your IVA was registered after your original mortgage was taken, your current lender may still allow a product transfer: switching to a new rate with the same lender without triggering a new affordability check or credit search. For homeowners whose IVA is still within the six-year window, a product transfer is often the most straightforward route to a competitive rate without the complexity of a full remortgage application.

A full remortgage to a new lender requires a new application and adverse credit criteria will apply. Once the IVA has dropped off your file and your recent credit is clean, standard remortgage products become accessible again. You can read more about choosing between the two options in our guide to product transfer vs remortgage.

What to Do While You Wait

If your IVA is recent or still active, the period before you apply is worth using well. The steps that make the most practical difference are:

• Register on the electoral roll at your current address.
• Open a credit builder card and pay the balance in full each month.
• Keep credit utilisation below 30% of your available limit.
• Make every bill and committed payment on time, without exception.
• Avoid any further adverse markers: missed payments, new defaults, payday loans.
• Save the largest deposit you can. Each percentage point above the minimum unlocks more lender options and a lower rate.
• Check your credit file with Experian, Equifax, and TransUnion to confirm the IVA entry is accurate and that no incorrect adverse markers are present.

Two to three years of clean credit conduct after discharge materially changes what a specialist lender will see, even before the IVA falls off your file. Starting that clean track record as early as possible is the single most useful preparation you can make.

For more detail on improving your credit profile before applying, read our guide on how to improve your credit score for a mortgage. If your situation also involves a CCJ, our guide to getting a mortgage with a CCJ covers the broader adverse credit picture.

Frequently Asked Questions

How long after an IVA can I get a mortgage?

There is no mandatory waiting period. You can apply as soon as your IVA is discharged, but deposit requirements and rates will reflect its age. Options improve at the three-year and six-year marks from the IVA approval date.

Does an IVA affect getting a mortgage after 6 years?

Once six years have passed from the IVA approval date, it drops off your credit file automatically. With clean recent credit, near-standard mortgage products become available. Some lenders still ask applicants to declare past insolvencies on their application form. A broker will know which ones.

Can I get a mortgage while in an IVA?

Only with formal written permission from your Insolvency Practitioner. Without that permission, taking on a mortgage during an active IVA is a breach of the arrangement. The lender pool is very restricted at this stage and most people are better served by completing the IVA first.

What deposit do I need for a mortgage after an IVA?

Within three years of discharge, most specialist lenders require 20 to 25%. Between three and six years, 15 to 20% is typical. After six years with clean recent credit, deposits from 5 to 10% become available with select lenders.

Can I remortgage after an IVA?

Yes. If your IVA was registered after your current mortgage was taken, your existing lender may allow a product transfer without a new credit assessment. A full remortgage to a new lender is subject to adverse credit criteria based on the IVA’s age and your overall credit profile.

Which lenders accept IVA mortgages in the UK?

Specialist adverse credit lenders including Pepper Money, Bluestone Mortgages, Precise Mortgages, Together Money, Kensington Mortgages, and Vida Homeloans will consider applications from borrowers with an IVA. The majority are broker-only and will not accept direct applications. The right lender for your case depends on the IVA’s age, your deposit size, and the broader credit picture.

Can I get a joint mortgage if one person has an IVA?

Yes. The IVA applicant’s record will be the dominant factor in the assessment, but a strong clean credit file from the other applicant and solid combined affordability can improve lender options compared to applying alone.

Do I need to declare my IVA after 6 years?

The IVA is removed from your credit file after six years. However, some lenders include a question about past insolvencies on their application form, covering periods beyond what appears on the credit file. A broker with specialist adverse credit knowledge will know which lenders ask this and how it affects your application.

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