ZERO 95% mortgages available for me?? :(

adamck

Hi Guys.

So... i have saved up £8500 deposit to buy our first house.

Myself and my partner both have good jobs (IT manager for a solicitors and clerical officer for NHS).

We have a combined annual income of £50,000 before tax.

The house we want to buy is £154,000 and is a relatives house that is on the market.

We have no credit cards, loans or student loans etc...

In the area we live this is slightly below the average house price.

I called the Halifax in regards to the new 'Help to buy guarantee' and was told they knew nothing about it... which is great...

I have scoured almost every lender that claims to offer 95% LTV mortgages and they are all based on you having an account with them for over 12 months OR buying a new build house... which this isnt...

So as i keep seeing reports that the market is rich in 95% LTV mortgages... where are they all hiding?

I cannot seem to lend more than £76k with my deposit...

The new buy scheme appears to have some high rates being aimed at it from what i have read (most saying about 6%).

Am i best waiting for this new scheme to take off?
Or am i doomed until i find another £8500 (and miss out on my relatives house) ??

We seem to be the perfect first time buyers, we have a good income for the area and we are sensible with money, we have never been in debt or refused anything, we have been working for over 7 years in the same jobs etc...

Any advice would be great!

kingstreet

HTB - Mortgage Guarantee has not yet been rolled out, so I'm not surprised Halifax can tell you nothing about it yet.

My search the other day revealed seventeen lenders offering 95% products on second-hand homes, so perhaps more research is required.

adamck

Thanks for the quick reply.

What about the details all over the internet claiming

"You can start applying for a mortgage under the Help to Buy scheme from the week commencing 7th October"

Unless my computer is set wrong... its the 7th of Oct?

Also mortgage lender can complete before Jan 2nd as pointed out on Zoopla's site (confirmed by the treasury).

Where did you find these 95% mortgages on existing homes (without having one of their current accounts or ISA's) ??

I have tried about 10 sites so far and every one of them turned me down on £154K

adamck

SANTANDER - No
HALIFAX - No
HSBC - No
NATIONWIDE - No
RBS - No
NATWEST - No
FIRST DIRECT - No

To name just a few that i've been through today, unless its different when i go for an appointment, i dont wish to waste my time getting told the same thing as their website though.

EVERY deal i have seen has been for NewBuy which isnt applicable.

Foxy-Stoat_3

I think you'll need more than £8500 to buy your first home.

Factor in application fees and legals and save up some more cash. In the meantime get a couple of credit cards and use it to buy petrol and fuel and clear them every month. In 6-12 months you will have built up some good credit history which will help you.

My mortgage lender wanted 22% before they would give me a FTB mortgage.

Good luck there !

GBNI

Do you have Danske Bank on the mainland? They do 95%.

adamck

I have more than £8500 but not for a deposit, the rest is for fee's surveys etc...

I have around £11k in total saved.

I have great credit, have rented a house for the previous 4+ years and all bills came out my account as direct debits etc... never missed a payment.
Ive had overdrafts and things paid off, ive had finance which has been paid back etc...
I also signed up with experian a while back which confirmed i had good credit. So that isnt an issue.

My upset is that i keep seeing people refer to 95% mortgages for older homes, yet they just dont exist!

kingstreet above mentioned 17 lenders with 95% LTV for FTB on older buildings. Yet none of them will lend to me based on their websites.
Not due to credit issues, just based on my deposit being < 10%...

adamck

GBNI wrote: »

Do you have Danske Bank on the mainland? They do 95%.

Not that ive heard of...

kingstreet

adamck wrote: »

Thanks for the quick reply.

What about the details all over the internet claiming

"You can start applying for a mortgage under the Help to Buy scheme from the week commencing 7th October"

Unless my computer is set wrong... its the 7th of Oct?

Also mortgage lender can complete before Jan 2nd as pointed out on Zoopla's site (confirmed by the treasury).

Where did you find these 95% mortgages on existing homes (without having one of their current accounts or ISA's) ??

I have tried about 10 sites so far and every one of them turned me down on £154K

Neither of the two lenders who are committed to HTB - MG has launched products yet.

As a broker I use a system called Mortgage Brain to source mortgage products and my last search for 95% products, last week, yielded 17 lenders.

From your list, HSBC and First Direct are the same firm and so are RBS and NatWest.

Perhaps a comparison site and a search for 95% products that way may be of help.

VFR-Rider

Or.... try a broker?

adamck

I will start to try brokers next week when im off work and have time in the day to do that.

I can almost guarantee non of them will be 95% on a mortgage of £155,000 on an old house.

ALL the mortgages i have seen so far are limited to <£100K OR are part of the Newbuy/Equity loan, shared ownership etc...