Am I a first time buyer?

BorisDollar

Probably a silly question... but maybe not! I'm asking this question on the basis of qualifying for a first time buyer mortgage, rather than trying to avoid any taxation.

10 years ago I purchased a property with my then girlfriend, and very shortly after we split up. I left her the house having taken my name off the mortgage and moved overseas.

9.5 years on, and I can finally put down a deposit on a house in the UK... perhaps 10% on a £200k house. Will I qualify for a first time mortgage, and if not, how do they know I had one previously?

Thanks.

Senior_Paper_Monitor

Yes for almost all lender purposes (but, no you won't get tax exemptions i.e SDLT)

BorisDollar

great news, thanks

Wh05apk

But I am not aware of any lenders offering preferential rates for ftb's.

woodsey2002

It's not great news as with a 10% deposit you'll get clobbered with high interest rates..how long have you been back in the country as many lenders will insist you've been resident for 3 years regardless of how big a deposit you have and the ones that don't insist that will require an impeccable credit history for at least 12 months before considering you for a mortgage, we've been back 2 years and are still renting...

BorisDollar

Wh05apk wrote: »

But I am not aware of any lenders offering preferential rates for ftb's.

It wasnt necessarily the rates I was looking for. Just that Skiptons and Newcastle BS are offering 90%/95% mortgages.

BorisDollar

woodsey2002 wrote: »

It's not great news as with a 10% deposit you'll get clobbered with high interest rates..how long have you been back in the country as many lenders will insist you've been resident for 3 years regardless of how big a deposit you have and the ones that don't insist that will require an impeccable credit history for at least 12 months before considering you for a mortgage, we've been back 2 years and are still renting...

Valid point. Thankfully, I remained registered at my parents address, and was being paid by a UK company to work overseas, so it would appear as though I had never left.

spadoosh

I dont think you could be seen as a FTB, youve had a house and mortgage before, irrelevant how long for. And yes you would be attempting tax evasion as a FTB is allowed a stamp duty of 250k were as a 2nd buyer only 125k. Would be very careful before calling yourself a FTB!!

neverdespairgirl

spadoosh wrote: »

I dont think you could be seen as a FTB, youve had a house and mortgage before, irrelevant how long for. And yes you would be attempting tax evasion as a FTB is allowed a stamp duty of 250k were as a 2nd buyer only 125k. Would be very careful before calling yourself a FTB!!

He wouldn't. He specifically said, "I'm asking this question on the basis of qualifying for a first time buyer mortgage, rather than trying to avoid any taxation"

spadoosh

neverdespairgirl wrote: »

He wouldn't. He specifically said, "I'm asking this question on the basis of qualifying for a first time buyer mortgage, rather than trying to avoid any taxation"

I know, but he still isnt a first time buyer. And as such shouldnt really be trying to get a FTB mortgage as this could be used to manipulate the system. I am sure the OP will declare it, i am not questioning that. But applying for a FTB mortgage when your not a FTB is surely not allowed (and probably fraudulent). Otherwise they wouldn't have FTB mortgages and it would simply be a mortgage!

neverdespairgirl

It depends. My partner and I don't qualify for the stamp duty thing, because he inherited property and then sold it. But we do qualify for most "FTB" mortgages. No dishonesty. Just different criteria.