Taking a loan immediately after mortgage completion

DCFC79

catjacob wrote: »

Hello,


I want to buy house with a mortgage of £190k which is the max loan I can take from a lender. However, this mortgage together with my saving are just enough to cover the costs of purchasing the house, solicitor’s fee, moving home… I still need extra cash (around £4500) to cover the Stamp Duty Fee.


I had a look at some threads here, it may be possible to take a loan after mortgage completion. However, whether my name is linked to the new home address is crucial when lenders check my details on the electoral roll. So, when should I inform the local council for updating my address, say, on the date of contracts exchanged?


Is £4500 a big loan if I already took a mortgage of £190k?


Also, taking £4500 loan and repaying in 15 - 18 months is very bad to my credit score???

If you don't currently have that money then should you be buying a house, maybe you should be looking at cheaper properties. Could you ask a family member top help you out with the £4500 ?

enthusiasticsaver

stamp duty is paid at time of completion so you will need the money before you move in. Also you are unlikely to be lent money if you have just moved as lenders don't like recent changes of address. I too would question if you have thought through the costs of moving house but your only option is to apply for a money transfer card (where the money goes into your account). Alternatively see if your solicitor will accept a credit card payment or put your moving expenses on one if you have one. Not ideal though and you need to make sure you will be able to afford repayments.