Questions as a Ftb

wigglers

Hiya we have an Aip in place for £300,000 after viewing a house we like on for £295,000 we would like to make an offer, but are we able too with only having £14,000 out of £15,000 for the deposit?
Should have the full deposit by the end of April, but houses are selling within a day in the area we live and we don't want to miss out?!
Also if its up for £295,00, I believe was on just before Christmas then taken off and been back on for a week, would we be able to make an offer of say £290,000 (as one without a conservatory sold in November 25 for £270,000 though needed redecorating even though, we will only have the full deposit in April?
Thanks for the advice 😊

Flugelhorn

I don't know but you are cutting it a bit fine with not having money for searches / surveys and conveyancing fees

Exodi

wigglers

we have an Aip in place for £300,000 after viewing a house we like on for £295,000 we would like to make an offer, but are we able too with only having £14,000 out of £15,000 for the deposit?

No, presumably you have an AIP for a 95% LTV mortgage, which on a £295,000 property would be £14,750. You'd need the house to be valued at ≤ £280k.

You will also need perhaps ~£0.5k for a survey, ~£1.5k for solicitors fees (potentially more or less depending on area, complexity, etc), as well as some money to the side for moving, bills (since many lenders set up your payment on 1st), etc. You may also want to get white goods, e.g. fridge, freezer, washing machine, etc or furniture if you don't already have, else you may be sitting on boxes for a while.

I think you might be a bit early to be thinking about this. Personally I'd wait until you have closer to £20k.

wigglers

I can cover that with wages etc and a few local firms offer no interest installment payments.

wigglers

Why would a mortgage broker that got Me the Aip say this then?

"yes absolutely as you have an agreement in principle, you are as best prepared as anyone could be :)" when I asked if we should be viewing properties and considering offers?

ACG

Some lenders will ask for proof of deposit - they will want to see it all.

Some lenders leave it to the solicitors, chances are they ill be a little more relaxed.

In terms of your deposit, dont forget you will also need around £1,500 for solicitors (possibly more or less depending on a few things).

wigglers

Yeah of course, so is it not really a good idea to make an offer at this stage?

Emmia

https://forums.moneysavingexpert.com/discussion/comment/81921615#Comment_81921615

I'd say no, as at the moment you're not really proceedable as you don't have the full deposit + costs you'll need to pay saved up.

Yorkie1

https://forums.moneysavingexpert.com/discussion/comment/81921388#Comment_81921388

It is always advised to avoid any secondary credit applications around the time of mortgage applications (and until after completion)

RelievedSheff

Save up your full deposit and enough for the costs associated with buying and then start looking.

You are not quite there yet.

And don't take out any credit!