Start with the real issue
The short answer depends on the details behind the application, not just the label attached to the borrower. There is no single score that answers this for every lender; the credit history behind the score and the rest of the file matter. Rather than treating this as a yes-or-no rule, review the borrower, the property, and the financing goal together before choosing where to apply.
The score is only part of rebuilding
From an underwriting perspective, lenders often want to see new credit used responsibly after the proposal, not merely a particular number on one day.
Recent behaviour matters
For this particular question, on-time payments, lower utilization, limited new applications, and stable debts can demonstrate that the borrower has re-established financial habits.
Lender requirements vary
What changes the answer is that some lenders place more emphasis on elapsed time after completion, others on re-established trade lines, and alternative lenders may use a broader risk assessment.
Where borrowers get stuck
A homeowner with equity may be able to restructure debt during or after a proposal, but the mortgage transaction should be coordinated with the Licensed Insolvency Trustee so payout requirements are handled correctly.
Documents to have ready
- a current credit report and explanation for major negative items
- recent income documents and proof of employment or business activity
- statements showing down payment, home equity, or existing mortgage balances
- a list of monthly debts and any amounts that will be paid out at closing
Talk to Approval Path Mortgages
For non-prime borrowers, lender fit matters as much as headline rate. Approval Path Mortgages can review the file, compare suitable lender categories, and explain the cost and trade-offs before another application is submitted.
No credit check. No documents. No obligation.
General information only; mortgage approval and terms vary by lender and borrower. Not legal, tax, insolvency, or financial advice.