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Mortgage & Personal Loan

Benno1983
Benno1983 Posts: 82 Forumite
Part of the Furniture 10 Posts Combo Breaker
in Mortgages & endowments
Is it possible to get mortgage whilst having a personal loan?

Thanks

Comments

  • blueberrypie
    blueberrypie Posts: 2,402 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker Name Dropper
    Yes - but the loan might have an impact on how much a lender will offer you. Also remember that you also need a deposit (at least 10% of the purchase price of the property) - and if you're thinking of using a loan for the deposit, forget it - lenders don't play that game.
  • Benno1983
    Benno1983 Posts: 82 Forumite
    Part of the Furniture 10 Posts Combo Breaker
    It's just that I have a personal loan and we have a deposit of £16k so was just wondering if this would be eligible. Thanks for your help.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    How much is outstanding on the loan?
  • Benno1983
    Benno1983 Posts: 82 Forumite
    Part of the Furniture 10 Posts Combo Breaker
    It's 7k. Can you put it onto a mortgage?
  • blueberrypie
    blueberrypie Posts: 2,402 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker Name Dropper
    You could, assuming your LTV, deposit and income are still adequate - but do you really want to be paying interest on a £7k loan for the next 25 years?
  • Benno1983
    Benno1983 Posts: 82 Forumite
    Part of the Furniture 10 Posts Combo Breaker
    Can you explain what LTV is please?

    Thanks
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Loan to Value. For example:-

    House Value £100,000

    Mortgage £80,000

    LTV = 80%
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Benno1983 wrote: »
    It's 7k. Can you put it onto a mortgage?

    Suggest you repay the loan. Then increase your monthly saving accordingly.

    Always try and clear debt before saving. As it'll save you more in the longer term.
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