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Bad credit mortgage advice
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AlsoInapickle
Posts: 2 Newbie

Due to a poor credit rating my partner and I are unable to apply for a mortgage with a high street lender. We are applying to a company who will require a 20% deposit. The property we are considering would be a private sale whereby the present owner has agreed to sell for 15% below the valuation price. Can anyone advise would this make any difference to the deposit required. Could we offset it in someway to reduce the cash deposit we need? If not, do we need 20% of the valuation price or the actual sale price ?
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Sounds like given the special circumstances you're best off going through a mortgage broker who can hopefully find a bank that is happy to support you in your purchase.
Personally I don't think that just because the seller deducts 15% off the purchase price that the deposit can also have a 15% discount - assuming that's what you're asking.I’m a Forum Ambassador and I support the Forum Team on Debt Free Wannabe, Old Style Money Saving and Pensions boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.
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Brie said:Sounds like given the special circumstances you're best off going through a mortgage broker who can hopefully find a bank that is happy to support you in your purchase.
Personally I don't think that just because the seller deducts 15% off the purchase price that the deposit can also have a 15% discount - assuming that's what you're asking.
So I guess what I'm trying to figure out is, would the lender consider any of the discount as part of the deposit and if not are the likely to be looking for a deposit based in the valued price or the lower selling price.
Sorry if I'm not making sense totally new to this.0 -
What is the link between you and the seller? If the seller is a relative then possibly. If not, then probably not.
I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.1
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