95% LTV Mortgages (5% Deposit)

Heyman_2

Try Chelsea BS as well - they currently go to 99% LTV on a couple of their deals but (obviously) it comes with a price.

Plus - their SVR when you finish the deal is 7.24% :eek:

sdooley

uncommonadvice wrote: »

Don't really want to go into too much advice online but negotiate a 5% discount on list price and use this as a vendor gifted deposit, then add in your 5% making the whole deposit up to 10%. This limits the amount of lenders but brings your interest rate down by about half a percent.

Of course you will disclose these discussions in full to your solicitor or licensed conveyancer and they will disclose this in full to the lender... otherwise that would be mortgage fraud. If it's a discount its a discount, if its a gift its a gift, it can't be both and I'd be suspicious of anyone getting a gift unless its from a family member.

the-top-cat

Anyone anything else to add to the 95% search?

I was looking at Nationwide's 3 yr Tracker, but they pulled that yesterday :mad:

Only thing I can now find is Natwest & RBS offering a 5 year fixed, which isn't any good...

mcmatt

Cheers Top Cat,

It does look as though the party's over - and annoyingly I haven't been able to move on anything anyway as my deposit's in an ice cube somewhere in Iceland. This must surely weaken the housing market still further if people's cash is inaccessible, but hey ho.

We'll just have to see if the rate cut and 'bailout' has any impact over the next couple of weeks.

mcmatt

adr0ck

5.84% tracker from HSBC

mic200202

uncommonadvice wrote: »

Don't really want to go into too much advice online but negotiate a 5% discount on list price and use this as a vendor gifted deposit, then add in your 5% making the whole deposit up to 10%. This limits the amount of lenders but brings your interest rate down by about half a percent.

This is spot on - if you can negotiate a reduction in price but can be assured that the actual valuation (ie when the surveyor goes out) is higher than this then the difference can be included as part of your averall deposit. It is called a concessionary deposit. Some lenders will restrict this if its a new build property but you should be safe with 5% which should give you a 10% total deposit. And no, it aint fraud or the like - the purchase price will be the valuation figure, which is what the lenders are concerned about. A similar idea is commonly called a builders deposit,which is really the same thing.

Conrad

You'll be quite lucky to get 95%, so beofre shopping around too much further I would attepmt an initial application in principle if I were you.

magburner

Half the people on these forums are moaning about banks for not lending to them and the others for not lending them enough!

SelbyJay_2

Long long loooong shot, but are there any 95% mortgages around again yet ?

thiraston

I'm interested to know too. I've got my eye on a new build for £133,000 come down already from £142,000 but have very little deposit and looking for a 95% mortgage.