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developers deposit???

2»

Comments

  • armandog
    armandog Posts: 12 Forumite
    and no the loan was from my bank and i can pay it off tomorrow so it not an issue moving forward. Having 10,700 rather than 13,700 is though.
  • scottishblondie
    scottishblondie Posts: 2,495 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    I think you're overthinking. You want to borrow 90% of the purchase price in the form of a mortgage - that would be £123,300. You then need to make up the the rest of the purchase price yourself - another £13,700. The developer already has £3000 of that in his possession, so before completion you would just give your solicitor the remaining £10,700.

    The fact that the developer already has that portion of the money is irrelevant as far as I understand it, it still makes up a portion of the 10% "deposit". If I'm wrong then someone please correct me, but this is how it worked for me.
  • armandog
    armandog Posts: 12 Forumite
    Thank you all especially scottishblondie that is what i believe the case to be its just so hard to get an answer officially
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