buying a house under-value

jon1987

Hi,

I was just wondering, as i'm in a position where i have been offered a £80,000 house for £65,000. Could i use this as a benifit when getting a mortgage?

What i mean is, would I be able to get a mortgage for £65,000 on an £80,000 house, and if so would the extra 15,000 count towards any deposit?

Regards

InsertWittyName

Assuming the house is currently owned by a relative then what you speak of is known as a 'concessionary purchase'.

Plenty of threads on here if you search for that term

jon1987

It's a friend of the family. I'm asking more about the mortgage side of things and how that would work

TrickyDicky101

If you are not a blood relative or a tenant of the vendor then I don't believe you can use this difference in value vs what you pay as a deposit. The lender will value the property at max of what you pay for it - and will lend 90% or whatever against this value, not what you believe the property is worth.