Almost one in five (18%) people who have experienced some form of adverse credit in the last three years are intending to purchase a property in the next 12 months, new research has indicated.

According to the latest Adverse Credit Study from Pepper Money, the number of people who have experienced adverse credit within the last three years has remained stable since the study was last published in May, and accounts for 12% of the population.

However, Pepper Money suggested the percentage of this group who anticipate buying a property in the next 12 months has increased from 14% in the last study, to 18% in the latest wave of research. This would equates to just over 1.13 million potential mortgage customers with adverse credit, based on population estimates by the Office for National Statistics.

The research also revealed that 12% of people with adverse credit intend to buy a home to live in over the next 12 months, while 6% want to purchase a buy-to-let (BTL) property to rent out.

Pepper Money sales director, Paul Adams, commented: “The Pepper Money Adverse Credit Study provides important insights into the millions of people who have experienced a blip on their credit file.

“The latest research indicates growing optimism amongst people with adverse credit, with more than 1.13 million planning to purchase a property in the next 12 months. And this presents a significant opportunity for brokers to provide much needed advice to customers who may have limited options with the high street lenders.”

Share Story: