mortgage help... clueless...

trishanaik

need some guidance so we know where to start.. currently ownacommercial property worth £300 000 which we just recieved planning permission for and will be changing into 4 flats..we have the funds for this and will start work within a month.

looking to buy a house worth £120 000, what type of mortgage do we need to look at getting... bank accounts not very good though.. have one savings account of £8000, 2 normal accounts with £2000 & £1000... we took out a loan 5 years ago for £40 000 and have £20 000 remaning to pay.
self employed. lived at current address for over 15 years which is owned buy my brother.



if anyone can advise whether or not we would be able to get a mortgage and what type to go for, and how much of a deposit would we need..

would really appreciate your help as we have no idea about all this and dont know where to start...

redpete

I'm not an expert, but it looks like you have less than 10% deposit to put into the new property - I don't think this is enough for lenders these days.

You might also struggle to meet the lenders' income criteria. What self-employed income could you prove to a lender?

surreybased

Hi,

I think you should go to see a broker. Potentially you could remortgage the commercial property (if it is owned outright) to release equity for the residential property however if you're developing the commercial property do you have the funds for this? It's doesn't seem to be a simple question of what mortgage so a broker would be best.