FTB with low cost home ownership dilemma!

benchyboo

Hi all,

My husband and I have seen a low cost home ownership scheme offered by our local authority in conjunction with a housing association. We are eligable for the scheme and have the deposit needed for 10% (at most) of the discounted price but are struggling to find a mortgage lender who will offer us a mortgage for this scheme (both of our banks have flatly refused us a mortgage for the scheme).

I wondered if anyone can suggest any lenders who will offer mortgages for the low cost scheme (it's not shared ownership)? I don't know if I can say who we have asked but if you have any advice I'd really appreciate it.

Thanks,

Benchyboo

kkgree1

Hiya

Have you tried a local building society? I have a shared ownership property but it has clause in the lease which means most mortgage providers won't touch it. The council told us that there are only 2 mortgage providers who will lend on ours - Nationwide and the local building society. Maybe worth asking the council as they can normally advise who will lend on their properties. Local building society were great for us and we're just about to move to our next house and going to stay with them.

K

Cannon_Fodder

ask the scheme, they must know the lender who support it.

or post the exact local authority/scheme title, as there are so many varieties.

benchyboo

Thanks for your advice.

It's City of York Council and we've tried NatWest and Yorkshire. Have been to Leeds BS but they need 15% deposit and we just can't get that in time to complete before the houses all go!

Thanks again.

CloudCuckooLand

City of York put this on their website for low cost housing;

http://www.york.gov.uk/housing/Affordable_housing/apply/

"In the current housing market lenders are generally looking for a deposit of around 20%, meaning that the amount of deposit required will usually range from £12,000-£20,000 depending on the type of property."


If you find anything under 20% you are doing well...

I wouldn't panic into buying, there are hundreds more in the pipeline; http://www.york.gov.uk/housing/Affordable_housing/affordable_housing_developments/