Buying a house with a personal loan??

PasturesNew

Cheapest for sale at the moment there has had an offer of £28,000 on it. http://www.rightmove.co.uk/property-for-sale/property-29159884.html

Previously sold for £60k in the heady peak http://www.houseprices.co.uk/e.php?q=68+ST6+5HD&n=10

Looks like somebody may have bought it at auction in 2006 and given it a Twigs & Magnolia makeover.

zzzLazyDaisy

PasturesNew wrote: »

Cheapest for sale at the moment there has had an offer of £28,000 on it. http://www.rightmove.co.uk/property-for-sale/property-29159884.html.

Actually Tunstall isn't the worst area in SoT... but I don't fancy the 'key features'.....

Key features:

• End Terrace House
• No Upward Chain
• Fire Damage To First Floor :eek:
• Water Damage To Ground Floor :eek:
• In Need Of Refurbishment

Incyder

Those awful red brick terraced lumps in Stoke are cheap for a reason. They are a left over eyesore from the glory days when the town was full of pottery workers in full employment that went off at 5 am with a flat cap on and a pasty in their pocket, a spring in their step and looking forward to the new Norman Wisdom film, due at the 'picture house' at the weekend.

Those days are gone, but a lot of the houses remain, those that haven't been condemned or bulldozed are available for sale.
Many now crammed with the modern pondlife of society, skillfully creaming the benefits system and selling herbs and powders to the locals to top up their income.

lea123e

Hahahaha!! Incyder! What a sweeping generalisation!!
I am sure that the above mentioned people can be found in many many parts of the country!! But I feel it is wrong to brand everyone who chooses to live in this accomodation as pondlife!
Thanks again to those who have offered good advice on this subject and no thanks at all to the rife snobbery on this board!
It is worth bearing in mind that it's not always where you start off but where you end up eventually that matters, after all everyone has to start somewhere.

zzzLazyDaisy

lea123e wrote: »

It is worth bearing in mind that it's not always where you start off but where you end up eventually that matters, after all everyone has to start somewhere.

You are absolutely right - and I sincerely apologise if you found my comments offensive, that certainly wasn't my intention. Good luck to you!

MoneyMiser

Sorry to but in here, but could someone just answer me this simple question.

A friend of mine believes they can get a personal loan to help fund their deposit. For example, they have £2000 savings and get a £10,000 personal loan to help towards a 10% deposit.

I said the bank would not lend to them for this reason, so they said, they would just say its for a car.

I said the mortgage underwriter would see this, and refuse the mortgage....and so the debate continues. Can some settle this argument for who is in the know

MM

zzzLazyDaisy

You should really start a separate thread - but the short answer is that he would have to declare the loaned deposit to the mortgage provider, who would then revise the mortgage offer accordingly. Failure to do so is fraud. The best advice you can give him is to keep saving and wait until he can actually afford to buy a house.

lea123e

zzzLazyDaisy wrote: »

You are absolutely right - and I sincerely apologise if you found my comments offensive, that certainly wasn't my intention. Good luck to you!

No offence taken at all, in fact i found your contribution very helpful so thank you!

Hmm loaning for a deposit, I guess the first problem would be that the money is being obtained under false pretences and secondly as you quite rightly say the loan and it's amount would show up on the credit check for the mortgage application. Doing this may also affect the amount the lender is prepared to offer due to the increased outgoings, if they would lend at all!?