Mortgage Without 5% until completion

Grezz24

Hello,

After some advice on how the below works.

We are saving for our home (reserved a new build) and it was expected to be released for sale in Dec. Anyway the builders are ahead of schedule and the home has now been released for sale late last week. This has put a dent in our plans as we had budgeted we would have the 5% by Oct and then be saving to furnish it etc.

After a chat with the sales woman she said they are happy to proceed with the sale on the basis that we give £8000 of the £11125 deposit when the mortgage offer comes in with the rest of the £3125 on completion in Dec (or when the house is ready)

We are happy to do this and have worked out the numbers and we can afford it (with all other fees taken into account).

How do mortgage companies look at this when applying? Are they happy for people to agree this with the builder and will the offer a mortgage on the basis we don't have the money yet (but can show we will)

Thank you

bethwilliams95

Hi,

I reserved a house and we had no deposit yet. Our house will be finished being built around December time. We are just saving as we go. They are usually ok with it as they know building a house takes time etc, as long as they can see where the funds are going from etc it will fine.

Grezz24

So have you gone through the mortgage process and have been accepted/approved for the funds?

Thanks