95% mortgages

Sunny23_2

We are looking at possibly purchasing a property using a 5% deposit. We are seeking advice from a broker but it appears we are going to struggle to find a lender without strict criteria and rates under 6%.
We know that by saving 10% we would open up a whole world of opportunities however we have seen a house we love at a very good price and know that if we wait the 6months until we do have 10% the house is unlikely to be on the market.
We are not FTB's as we have owned a property and have combined earnings of around £50k, house is £185k.
Anyone have any ideas of lenders we could try or advice?
Many thanks!
Sunny

_Andy_

"Anyone have any ideas of lenders we could try or advice? "

Surely you've already had the advice via your broker.

ACG

At 95% all lenders are going to have strict criteria, the higher the LTV, the stricter the criteria - it goes hand in hand.

kingstreet

There are usually a handful of 95% products around and availability can be limited to geographical areas of the UK in the case of a local building society.

Leave this to the appointed broker.

brettcta

We're going with lloyds local lend a hand and with a 95% LTV (with local authority guaranteeing 20% of that), we're fixed for 3 years at 3.740%

Helix

brettcta wrote: »

We're going with lloyds local lend a hand and with a 95% LTV (with local authority guaranteeing 20% of that), we're fixed for 3 years at 3.740%

I've just done this too, completed last month my rate is 4.34% for 3 years . The advantage of this over the help to buy schemes is there is no separate loan to worry about for the 20%.

Aurum_Citizen

We've gone for the Woolwich Springboard 95% albeit a family member has put 10% of purchase price in a saving account for 3 years (guarantor) that is linked to the account. In your case this would mean 18.5k from family member. Our rate is 3.99%. We have joint income of 50k and purchasing at 128k. We were going to be saving for another 3 years for a larger deposit until a family member offered this.

ACG

Helix wrote: »

I've just done this too, completed last month my rate is 4.34% for 3 years . The advantage of this over the help to buy schemes is there is no separate loan to worry about for the 20%.

You have a property putting down just 5% and you have a sad face at 4.34%...
Words escape me.

kingstreet

I'd just like to point out to new readers that Springboard and Helping Hand require additional security in the form of a Local Authority guarantee or tie-up parent savings and in some cases, not mentioned here, their property placed at risk.

ACG

And before you cancel your insurance go and speak to people who have had their house repossessed because they couldnt afford the repayments after becoming ill.

Or go and sit in a hospital where people are worried about their bills knwoing they have limited sick pay.

There is nothing wrong with shopping around, but think about the consequences that saving £30 a month might have.

I have a client who refused critical illness cover, he had a heart attack and is now not able to return to work fully but he cant afford not to work - its a vicious circle.

kingstreet

I suspect Vonda and his/her spam are not long for this world...