Is it possible to get a mortgage with less that 10% deposit?

claire_robinson

Hi everyone, I am new to the forum tonight so sorry if i sound a little bit ignorant but i am in need of some advice. My paartner and I have around £5000 but are looking for a mortgage of £150,000. is this possible with such a low deposit?

Many Thanks
Claire

Dan:_4

claire_robinson wrote: »

Hi everyone, I am new to the forum tonight so sorry if i sound a little bit ignorant but i am in need of some advice. My paartner and I have around £5000 but are looking for a mortgage of £150,000. is this possible with such a low deposit?

Many Thanks
Claire

In a word, No. This would be more then even a 95% mortgage which you can not get at the moment.

Go and post this on the Mortgage board and for further advice.

ad9898_3

Dan: wrote: »

In a word, No. This would be more then even a 95% mortgage which you can not get at the moment.

Go and post this on the Mortgage board and for further advice.

Dan is of course correct, but hey Dan don't chase off new people, especially girls.:D Come and join us Claire anytime you like, although we are quite doomish in our outlook, Dan is more up beat than most, you won't get any (((hugs)) here though.;).

1984ReturnsForReal_2

Yep.


Apply for a loan just before to make up the difference..



(not advisable BUT possible)


Or more sensibly wait a few months, save a bit more & watch house prices come down..

lostinrates

claire_robinson wrote: »

Hi everyone, I am new to the forum tonight so sorry if i sound a little bit ignorant but i am in need of some advice. My paartner and I have around £5000 but are looking for a mortgage of £150,000. is this possible with such a low deposit?

Many Thanks
Claire

Welcome Claire. You say you are a little ignorant....well, my question would be how ignorant? There are some people who re not foolish to buy, and some properties that might be right for purchase even now....but have you looked into this beyond mortgages?

penguine

As others have said, no, plus you need to allow for conveyancing and other costs associated with purchasing a property.

Dan:_4

1984ReturnsForReal wrote: »

Yep.


Apply for a loan just before to make up the difference..



(not advisable BUT possible)


Or more sensibly wait a few months, save a bit more & watch house prices come down..

It certainly can be done. The real in trick in this is getting the timing right as you don't want to be delined the mortgage because of the recent loan or vice-versa.

PasturesNew

£150k is a LOT of money for people to borrow , bearing in mind their sum savings in their entire lives to date are just £5k.

Save for another year.

Also, you will need about £1k for various fees/searches etc.

tomterm8

The real trick is getting the loan in a way that it won't appear on your credit record, for example a number of banks don't report overdrafts to credit records, so opening up five bank accounts and getting an overdraft, and bobs bingo, you've got a deposit.

By the way, this advice could seriously damage your wealth. It is much better to spend two years saving a decent deposit, because the house you are buying will probably be worth less in two years than today.

Dan:_4

PasturesNew wrote: »

£150k is a LOT of money for people to borrow , bearing in mind their sum savings in their entire lives to date are just £5k.

Save for another year.

Also, you will need about £1k for various fees/searches etc.

This is probably the best advice you have had so far. Prices are likely to be cheaper in 12 months - by how much is open for serious debate.

ad44downey

claire_robinson wrote: »

My paartner and I have around £5000 but are looking for a mortgage of £150,000. is this possible with such a low deposit?

I sincerely hope not. Otherwise we would have learnt nothing from the recent property bubble-induced economic collapse.