Mortgage application with Lifetime ISA

DanielleJH

My husband and I are first time buyers and rather clueless when it comes to house buying and mortgages etc.

We both have lifetime ISAs. Mine matured in September and my husband's is due to mature in the first week of November. We currently have a 9% deposit including the government bonuses, but by the time his ISA matures we will have just over 10%, based on the houses we are currently looking at. We have started looking at properties but if we miraculously found one immediately and had an offer accepted, am I correct in thinking that our mortgage application offer would be for 95% LTV not a 90% LTV, because we won't have 10% until after November 5th?? If we didn't reach completion until 2 or 3 months down the line, and in the meantime had increased our deposit, would we need to "reapply" for a mortgage? Or can a final mortgage amount be calculated closer to completion? Should we not bother getting an agreement in principle until after November because technically the bonus included in our deposit isn't ours until then??

This is all further complicated by the fact that I am currently on maternity leave and due back in December, though I have plenty of documentation around that!

The complexity and timeline of house purchasing is really messing with my head!!

middleclassbutpoor

It is highly unlikely you will be in before 5th November.

You will be fine to work on a 10% deposit