FTB Mortgages for New Builds / Nationality Query

flak44

Hi All

Got two questions I need help with. Firstly, looking for a bit of advice about first time buyers mortgages for New Builds.

I have seen a new flat i am very interested in at £175,000. Unfortunately i was unaware that lenders do not like new builds at present. The estate agent told us we need at least a 20% deposit.

My girlfriend and I have a 30K deposit. So roughly we need a LTV of 83%. I am talking to a number of brokers about this but wondered whether any one had some thoughts/experience on my chances of getting a mortgage to that LTV? Alternatively am i better of begging to our parents for the extra cash?!

Secondly, my girlfriend is a German National. She has an excellent credit rating but I am little worried whether this might be an issue with mortgage lenders. Cant see why it would but the way lenders are the moment i am not particularly sure?

Many Thanks

Zero_Sum

If its a new build, why are estate agents involved? Surely you'd just go to the devolpers sales office?

kingstreet

EU citizens have no problem getting a mortgage and there are one or two lenders who go upto 85% on a newbuild flat.

A broker is the best port of call for this.

flak44

Its a new build by a small developer so i presume they have handed over the sales to the estate agents.

flak44

Thanks Kingstreet. Silly question possibly, but do LTV only come in increments of 5%?

kingstreet

No. You ask for the mortgage amount you need.

Their LTV bands are normally set for product differentiation and something like newbuild maxima, where one lender may set 65% for a flat, while others may take 70%, 75% or 85%. It's their choice.

You need to make sure whatever amount you wish to borrow is under that ceiling, but it may be only 0.1% under, or 5% under, as you desire.