Getting a mortgage on a new build

scw1

Would there be any problems with getting a mortgage on a new build? As when we will complete there will only be very basic foundations done as the property isnt due to complete until Nov time.

The property is £155k and we would need to borrow £40k as we have the rest as a deposit.

Thanks

happybroker

is this a self build? I wouldn't have thought you would be completing on a new build whilst only at footings in the construction, exchanging possibly.

scw1

No its a persimmon home. The sales woman I spoke to today am I sure she said we put a deposit down and then in 6-8 weeks we would complete. Maybe I got that wrong.

koexelek

scw1 wrote: »

Would there be any problems with getting a mortgage on a new build? As when we will complete there will only be very basic foundations done as the property isnt due to complete until Nov time.

The property is £155k and we would need to borrow £40k as we have the rest as a deposit.

Thanks

You should be OK to get a mortgage, but onr of the biggest obstacles you will face is the mortgage offer running out. A lot are only valid for 3 months.
Nationwide are valid for 6

TEDDYRUKSPIN

You have decent deposit. You will be fine. New builds which have'nt been built are a slow process. Just remember many mortgage companies will only hold your rate for a maximum of 6 months upon completion of a mortgage application. HSBC and first direct have 6 months and can extend longer. C&G have a similar perspective.

You have plenty of equity due to your massive deposit. Enjoy and get a decent rate. Don't panic.

Just a rule of thumb. The idiots from persimmon will ask for the reservation fee first. Then your 10% in cash and may ask more in 4 months time. They will always phone you and bother you for completion when the day comes.

Just make sure all the snags are carried out before completing! That is a major warning! Persimmon are the biggest classic builders from hell!! Get it right first time.