90% deposit

cath261

I have a 90% deposit and need to borrow about £40,000. I want to reay over 15 years. What is the best mortgage to go for?
Thanks,
Cath

Jimbo1976

Cath

You really need to give a bit more info to enable the people who respond to posts enough to go on.

Do you want a fixed rate (for financial stability) or a discounted or tracker rate (which can go up and down in theory but will only go up from here!). Do you want to be able to repay your loan early, either by paying extra off each month or by making irregular lump sum payments. Do you have any cash savings which you could use to offset the mortgage (thus reducing your interest payments)

What are your employment details, income etc

I suspect that if you have a 90% deposit then hopefully you don't have any debts.

If you can supply this info you are much more likely to get some helpful advice and suggestions

frankie

cath261 wrote: »

I have a 90% deposit and need to borrow about £40,000. I want to reay over 15 years. What is the best mortgage to go for?
Thanks,
Cath

I'm in a similar situation. On sale of current house I will only need up to £50k to buy next house.

I enquired of the Halifax, just to get an idea of what's possible. They said no problem getting a 'small' mortgage. They did go as low as £about £30k, lower than that there comes a point of its better to get a loan.

My situation is I'm retired so they will only do a mortgage to be paid off in 10 years, needs to be paid off by age 70.

These are only vague points, clearly when the time comes I will shop around for best deal. But in principle it is possible to get a 10% mortgage.

harvey115

If you have a good credit history, in a good paying job and not below the minimum loan amount usually 25K to 30K with majority of lenders. You should be able to get the best rates available in the market.

HSBC and FirstDirect (although things might be a little slower)

For other deals you may search online comparison sites quite easily to get an idea what is available to you. If in doubt and you do not feel comfortable going through a bit of a stressful process to getting a mortgage, you can consult a mortgage broker.

blargh

I think HSBC do the best 10LTV rates as long as your credit record is spotless :rotfl:

But if you've already saved up £360,000 for the deposit, surely it shouldn't take too long to save the extra £40k needed...? Just cut back on the trips to the moon or whatever it is that people with that kind of deposit do for leisure

Or... you could buy a place for cash that costs you £360k rather than £400k and thereby avoid paying any interest whatsoever to the banks?