Deposit source is our wedding money

enthusiasticsaver

aqf157 wrote: »

Hi, my wife and I got married 2 months ago, and we've just had an offer accepted on our first home! We are first time buyers.

It's humble abode and our deposit is £7k, around £4k of which we have saved and around £3k is an accumulation of all the money our family and friends gifted us for our wedding.

How does a paper trail work in this situation? Also, we have't even put it in our bank yet! We've just been dipping into it while enjoying the honeymoon period a bit, daft I know, but it was on the to do list

So now it's going to look even more dodgy us just putting it in to our bank now, because the wedding was 2 months ago.

Anyone got any advice here?

Surely we don't need to get 50 odd people who put money in our wedding card to declare it as a gift?

Just put the money in the bank and say it is savings. It will look more dodgy doing it just before you are due to exchange and have to hand over your deposit. You should not need to declare it as it is only £3000.

enthusiasticsaver

aqf157 wrote: »

Thanks for feedback/advice!



We've made an offer, it's accepted, already started mortgage application with TSB. We told them that money for deposit was savings, same difference we thought at the time.



I'm thinking to speak to the mortgage lender TSB to explain the situation and tell them that we need to get a short term loan for some of the deposit and fees. The mortgage amount is less than 2x our combined salary, and only 60% of what TSB were willing to lend us.

But is this mortgage suicide?

Most lenders will not allow borrowed deposits and any lending will show up when they score your mortgage application.

[Deleted User]

Are you sure? My experience is that most lenders will refuse if deposit has come from a personal loan.

If its informal loan from family then that's slightly differen

ACG

If your deposit has come from a loan in full or in part, 99% of lenders will just say no.

Would you rather have a loan and home furnishings or a home and a mortgage? Do the loan for the home furnishings once you have completed. It is not with the risk.

We had a lady once who took out a loan for a car 8 months before an application. I took her word for it. The lender did not. They asked for evidence of a car being bought for the amount borrowed or more. It all came out in the wash. Her application was declined because she lied and they did not accept a loan as a deposit. We washed our hands of her as she lied to us, despite the fact we could have placed it.

Do your application right. Dont take out a loan, you do not need it.

aqf157

Thanks all, really appreciate the advice