Need Some Help

jonnyboy21

hi, i am looking into buying my first house off my mam and dad. the house has been valued at 80,000 pounds but i am buying it for 54, 000 pounds. When i apply for the mortgage will i still need to pay a deposit or because i am paying a lot less than the house is worth will i not need to pay a deposit. thanks

Dom3663

Pretty sure you'll need a deposit

jonnyboy21

ok thanks a lot. i thought i would but a few people have said i wont need one. is it right that i will get a better deal though as the mortgage i am after is a lot less than the price of the house?

rlfan82

Not sure, but...

last time we got out mortgage, we managed to hustle a better rate as we argued that our property was then worth 130,000, not the 112500 we bought it for initially.

because we only needed 109k out of 130k it brought us below the 80% LTV mark.

i think you may get away without a deposit personally

jonnyboy21

ah great thanks. i know i need to see a mortgage advisor for a definite answer but just thought id see what you lot thought. hopefully i can get away without a depsoit because the money i have saved up i want to use for decorating etc

Dom3663

http://www.insolvencyhelpline.co.uk/mortgages/what_are_no_deposit_mortgages.php

Pretty good read

VIGILANT22

jonnyboy21 wrote: »

hi, i am looking into buying my first house off my mam and dad. the house has been valued at 80,000 pounds but i am buying it for 54, 000 pounds. When i apply for the mortgage will i still need to pay a deposit or because i am paying a lot less than the house is worth will i not need to pay a deposit. thanks

No you will not be required to pay a deposit...this is known as a concessionary purchase....find a good adviser somebody can recommend to you and they will know what to do....

jonnyboy21

is this because the mortgage i am after is so much less than the house is worth?

VIGILANT22

It is because you are buying from parents at discounted price