Newbie Mortgage advice needed

joncarter2003

Hi all,

I am after some advice, I am in the process of purchasing my first house. Two weeks ago I got a Mortgage in principle for a Fixed Rate Mortgage with Nationwide requiring 10% deposit, no problem I thought.

My offer was accepted on the house. I went on holiday to come back to my mortgage advisor telling me that the majority of lenders are now only lending with a 15% deposit or greater. However I have been told since that Nationwide could honour the previous proposal.

My alternative mortgage is a Nationwide Tracker with the 15% deposit better rate than the fixed rate one. However I think I will struggle to save the additional 5% in a realistic time frame.

My question is, does anyone know of decent 90% mortgages or if there is any flexibiltiy with the proposal I already have for the Fixed Rate to be changed to the Tracker whilst keeping it at 90%.

herbiesjp

joncarter2003 wrote: »

My question is, does anyone know of decent 90% mortgages

Well what is the purchase price?
What is your income?

Do you have any other loans/debts in the background?

Soot2006

To be blunt in the current market you'll be losing more money by going into a 90% mortgage than by renting and sitting out some of the storm. With only 10% you could be in negative equity within months of buying. At the moment, I'd only be looking at buying with at least 40% deposit as looks like prices are likely to fall at least another 15-20%. Probably not what you wanted to hear, but it's the reason you might have trouble finding a

decent 90% mortgages

right now.

joncarter2003

Thanks for the quick response.

tavarishink->I understand, however surely this is only relative if you were selling the house in the short term which is not my intention?

herbiesjp->Purchase price of the house is £140,000. No debts or loans good credit rating. Annual income £32,000

_Andy_

What are the Nationwide rates you've been offered?

joncarter2003

6.28% Fixed 2year

5.98% Tracker

herbiesjp

And what are the fees attached to those deals?

joncarter2003

I cant quite remember off the top of my head and do not have the paperwork with me.

I think it was £299.