Cash loan to fund first home - remortgaging

brokebroke

I am able to purchase my first home thanks to a cash loan from the bank of m&d. The property in question can only be purchased this way as it requires renovation to become mortgageable. On completion of the work (est 3 months), I will need to acquire a mortgage for approx 40% of the projected value of the property in order to repay my parents for their loan. This money shouldn't be an issue, as it is far lower than the maximum mortgage loan that I can borrow, however, the first mortgage broker that I have contacted has said the issue is that I will effectively be remortgaging within 6 months - for which, only 1 x high street lender will offer a mortgage for, but at unfavourable rates.

This is my first property and is to be my home - it is not buy to let, nor am I a property developer.

Can anybody offer any advice on the matter? Will it be difficult to get a mortgage within 6 months of purchase, or should my circumstances enable a more favourable view of the situation?

All advice appreciated!

davidmcn

The broker's advice is correct - most lenders will be reluctant to lend within 6 months of purchase. I doubt your circumstances make any difference to their policy. Can't your parents hold on a bit longer before wanting their money back?

Or you put up with the unfavourable rates for a while and then remortgage with someone else when you can.