Buying a house with a personal loan??

cameron13897

Hi I am currently trying to purchase a house for around 50k to buy to let and was wondering can I purchase this with a personal loan of 20k which I have been approved for and the remaining cash (in the bank) which I have??

sparky130a

cameron13897 wrote: »

Hi I am currently trying to purchase a house for around 50k to buy to let and was wondering can I purchase this with a personal loan of 20k which I have been approved for and the remaining cash (in the bank) which I have??

You're madder than mad mick from madsville.

cameron13897

lol I maybe mad mick from Madsville I'm fully aware of the extra money that maybe be paid in interest as I know the loan can only be taken for maximum 5 years but I intend to pay it of within the first year so I don't pay much interest as interest is only charged on how ever long you have the loan over as I have a business of my own and know I can pay this off in the first year this is my first buy to let property I just need some advise on can I use the personal loan without any complications.

00ec25

depends on the T&C of the loan - go ask a lender

cameron13897

if the loan is from the bank and when told the loan is for a property they frown upon this as they want you to take a mortgage instead but if the loan is approved and in my account my thoughts are its nothing to do with them as the cash is in my account so make me a cash buyer of a property with no links to any bank or lender??

sparky130a

cameron13897 wrote: »

lol I maybe mad mick from Madsville I'm fully aware of the extra money that maybe be paid in interest as I know the loan can only be taken for maximum 5 years but I intend to pay it of within the first year so I don't pay much interest as interest is only charged on how ever long you have the loan over as I have a business of my own and know I can pay this off in the first year this is my first buy to let property I just need some advise on can I use the personal loan without any complications.

Then you should know better than to !!!! around with loans etc...

parkrunner

cameron13897 wrote: »

lol I maybe mad mick from Madsville I'm fully aware of the extra money that maybe be paid in interest as I know the loan can only be taken for maximum 5 years but I intend to pay it of within the first year so I don't pay much interest as interest is only charged on how ever long you have the loan over as I have a business of my own and know I can pay this off in the first year this is my first buy to let property I just need some advise on can I use the personal loan without any complications.

In that case wait 12 months and you'll have the full amount to purchase a property.

sheff6107

Once you have the money you can do whatever you like with it. There's nothing wrong with applying for a loan to buy property in the first place anyway.

agrinnall

If you don't have all the money now then a personal loan may be the only way to do it, as most (if not all) lenders will not offer mortgages for an amount as low as £20K.

Bossypants

sparky130a wrote: »

You're madder than mad mick from madsville.

Um, why? Assuming OP has the means to repay on time (which the bank seems to think that they do, since they have been approved), why is it madder to take a loan to buy property than to buy a car, redo the kitchen, whatever else?

Granted it's always preferable to not be in debt, and I have personally lived with manky kitchens for years rather than be beholden to the bank for it, but I don't consider it madness...

sparky130a

Bossypants wrote: »

Um, why? Assuming OP has the means to repay on time (which the bank seems to think that they do, since they have been approved), why is it madder to take a loan to buy property than to buy a car, redo the kitchen, whatever else?

Granted it's always preferable to not be in debt, and I have personally lived with manky kitchens for years rather than be beholden to the bank for it, but I don't consider it madness...

You're on crack right?