Bad credit mortgage advice

AlsoInapickle

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 ?

Brie

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.

AlsoInapickle

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.

Hi thank you. Yes we are speaking with a mortgage advisor who will be helping us apply when the time is right. 

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.

ACG

What is the link between you and the seller? If the seller is a relative then possibly. If not, then probably not.