Second mortgage deposit %

stephenfletcher1987

All,

I currently own a bungalow that me and my wife are living in. Only my name is on the mortgage. It is valued at £105k and currently have a £60k mortgage on it.

We are struggling to shift it so have saved up a 10% deposit for the house we want (£170k) and informed the sellers we can proceed without selling current property. The current property will stay on the market and hopefully sell soon.

Me and my wife were hoping to take out joint mortgage so booked a meeting with nationwide. Over the phone he informed me that with it being a second property I will need a 15% deposit. This is and additional £8.5k, which is far from loose change!

Is this true with all mortgage lenders or is this specific to nationwide?

Which mortgage company would lend to a buyer such as myself witha 10% deposit?

Also, any other advice people have regards to this situation would be appreciated.

Thanks in advance,
Stephen

dimbo61

Can you afford BOTH mortgages?
Could you rent out your existing home?

kingstreet

This is Nationwide policy only.

There are other lenders who will lend 90% subject to affordability, status etc.

Contact an independent broker who will find the best option for your needs.

stephenfletcher1987

With our combined income we can get a mortgage for larger than the amount of the two individual ones however don't know if it can be worked out like that?
I probably could rent it but I want rid really to release equity!


Glad this is only a nationwide policy.
There are plenty of ifa locally but won't they charge me a fortune for a service that potentially, if I find a company that offers 90% ltv mortgages for second purchase, I could organise in store with their restricted fa?

Thank you both!

dimbo61

I Love DIY but not when it comes to servicing the Gas boiler or electrics.
Why bother with Solicitors or RICS Surveyor
I paid £500 to a local mortgage broker this week but money well spent!
PS I do not work in finance or mortgages