Mortgage or loan?

Cherez

I sold my previous property due to marital breakdown and have all but £12,000 for the new property i am considering buying, if I look at a mortgage it seems that the least amount i can borrow is £15,000, if I look at a loan, the repayments are really high as i have to have it over a shorter term. Really, what i am looking for is to borrow the £12,000 with the cheapest repayments possible. Any ideas please?

Thanks.

MarkyMarkD

Assuming your income will support it, take a mortgage for £25,000 or whatever the minimum the lender will give you a deal on, but on a fully flexible product.

Then repay the £13,000 you don't need immediately following completion.

Cherez

Thanks for that Would i incur any penalties or anything paying some back early to u think?

UK007BullDog

you need a flexible mortgage to pay back the amount you dont need without any penalty.

Cherez

Many thanks for that, this seems like the route i will take

MarkyMarkD

That's why I said a fully flexible product. Don't simply look for products with that in the name though - some have flexibility, but don't make a fuss about it!