New build mortgages

mistree

Hoping someone can help. Have pulled out of previous sale as there were issues with the house that the estate agent had forgot to mention, now looking again :mad:

We found a new build house that we liked, and offered, and this was accepted. We have passed the information to our broker to progress with the new mortgage application (previous was with Nationwide) and he has advised that because its a new property Nationwide will not allow us to use our existing mortgage offer or any product of theirs as the maximum is 85% ltv and we only have a 10% deposit (SE, first time buyers!). We wanted a three year fix, and the reason i believe our broker chose Nationwide was because of my partners credit history (2 defaults, settled, more than 4 years ago).

Two questions:
Does anyone know of the suppliers who offer 90% LTV mortgages on new builds? Our broker has given us the impression its not going to happen, but research tells me there are several
Does anyone know out of those that would have a product we could use, which if any are likely to approve with my partners history?

To clarify this is a private property developer who has build 1 house, not a big development that is part of any government scheme.Thank you.

kingstreet

There are approximately eight to ten regular lenders offering 90% on newbuild houses. These are known to newbuild brokers and can be found easily via a sourcing system.

Will the property have an acceptable newbuild warranty as many lenders will require this and do not like architect certirficates.?

[Deleted User]

I looked in to this a few weeks back for a client. As above, about 10ish regular lenders at 90% and about 15 more regional building societies (that most brokers can use) offering it as well.

There are even a few doing at 5% deposit.

If you pass a credit score with defaults with nationwide you shouod be fine most other places I'd expect

Retired_Mortgage_Adviser

If your broker is half-decent and has indicated that you are out of options, it might have something to do with the part about it being a 1 house built by a local developer. But it's hard to say without more details. What kind of new-build warranty is being offered by the developer?

But otherwise, there are plenty of 90% LTV options for new build freehold houses and it will do you no harm to get a second opinion from another whole of market broker.

mistree wrote: »

Two questions:
Does anyone know of the suppliers who offer 90% LTV mortgages on new builds? Our broker has given us the impression its not going to happen, but research tells me there are several
Does anyone know out of those that would have a product we could use, which if any are likely to approve with my partners history?

To clarify this is a private property developer who has build 1 house, not a big development that is part of any government scheme.Thank you.

foxy-stoat

Who is the builder?

RelievedSheff

We have recently got a 90% mortgage on a new build with Kensington.

Not the best rate in the world due to my adverse credit, 1 unsatisfied CCJ which drops off my file next month and a satisfied CCJ from 2015.

But it secured us the property we really wanted and it's only a two year fix as hopefully by the end of the two years we can remortgage to a mainstream lender on a better rate.

Dont give up hope. There are options out there for you.