Shared Ownership new build flat

Lorenzo94

Hi, I’m looking to buy a new build property (flat) through shared ownership, but now I’m finding out that banks want 25% deposit for new build flats? Is there any bank that accept 10-15%? That’s the maximum I can actually afford to put down. The share I’m buying is 30% for £144,750.

wjr4

Are you using a mortgage broker?

Lorenzo94

Well after losing £650 for applying for two mortgages and not getting the house (cladding issues on first, and the seller pulled out from the sale for the second one) I’m using an online mortgage adviser (Trussle) which is free as I don’t want to lose anymore money tbh. 

This is getting very annoying as it looks like when I manage to overcome an obstacle, another one comes!

lspell1

Have Trussle not been able to answer this for you? Or have you just not been able to get an answer out of them?
The Mortgage market is changing daily and lenders are tightening criteria. New Build flats usually require 15% minimum before all this started.
Is Help to Buy available?

Lorenzo94

They have advised me that one bank would lend with a deposit of 15%. I enquired with another platform, L&C, and they have told me that the same lender would accept a 10% deposit, but they cannot take any application until the current situation is over. I will just tell L&Q that we both need to put on hold the purchase until this situation clears. It will be funny if they refuse, or if they agree and the house price fall and the bank won't lend on the value agreed before covid-19.
This brings me to another question. If house prices really fall dramatically after this situation clears out, would L&Q reissue another offer with an amended price or would they pursue with the higher price?