When will i need to pay deposit?

rich3245

Hi,

Just had formal mortgage offer in the post from YBS. It explains all except when I will need to pay the mortgage deposit.

Does this all need to be paid to the solicitor before completion, or will it only need to be a certain percentage, or does this vary between banks.

If it does not all need to be paid before completion, then will it accumulate interest?

The deposit is 25% (£41,250) of the offer price (£165k).

Thanks very much for any advice,

Rich

Senior_Paper_Monitor

The solicitor may want a small deposit (hundreds) at the beginning of his activity on your behalf.

The deposit at exchange (usually 10% of purchase price but can be negotiated) will need to be with the solicitor ahead of exchange - this money (and potentially other expenses) is then at risk if you don't complete.

The funds making up the rest of the deposit/costs including stamp duty and balance of solicitor fees then need to be with the solicitor a minimum of 24 hours (may be more) before the completion date.

Flashmanchop

They should send you a terms of business, stating when payments need to be made, and how. the completions tatement (your deposit and the remaining fee) will state how much etc.

ps i would make sure you have the bank lined up and ready to transfer the money. |I always have nothing but trouble with my local branch staff