Please help me ...HSBC

Marky4040

Hi All, can someone make any sense of the following.

1. Porting my current mortgage with HSBC to new property.

2. Current property is a flat, new property is a flat

3. I know i have to borrow existing balance or more and complete within 6 months on new property NOT for the ERC to kick in. I'm 2 years into 5 year fixed.

4. I put down 20% deposit on current property, however the new propoerty will be 10% because 20% would take me below current balance of existing mortgage triggering ERC

5. HSBC are telling me i cannot put 10% down on new flat because they require 20% deposits on Flats? Has anyone ever heard of this? Is it true?

I can't find anything on their website which dictates what percentage deposits are required for what type of properties. It sounds ridiculous.

Can anyone shed any light on it please.

 

MovingForwards

5  https://intermediaries.hsbc.co.uk/criteria/
They require 20% on a new build, 25% on a used flat.

Marky4040

MovingForwards said:

5  https://intermediaries.hsbc.co.uk/criteria/
They require 20% on a new build, 25% on a used flat.

Hi there thanks for this, i never knew, just to clarify it's 15% on a used flat, max LTV is 85% .

MovingForwards

Oooops, bad day in the office and miscalculated!

[Deleted User]

Btw if you borrow less than current mortgage it doesn't trigger the full erc to be paid.  Only based on the amount not being borrowed 

Marky4040

Deleted_User said:

Btw if you borrow less than current mortgage it doesn't trigger the full erc to be paid.  Only based on the amount not being borrowed 

Thanks very much, spoke to someone at their mortgage centre in the end, the whole porting process was not explained to me correctly initially. All ok now.