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    • ftb_deena
    • By ftb_deena 11th Feb 18, 11:00 AM
    • 15Posts
    • 7Thanks
    ftb_deena
    Help with Deposit & Mortgage
    • #1
    • 11th Feb 18, 11:00 AM
    Help with Deposit & Mortgage 11th Feb 18 at 11:00 AM
    Now, this might seem like a stupid question, but as a FTB I'm new to all this...


    I've had my offer on a house accepted that is 1k over budget.
    My budget = my deposit + the mortgage amount (AIP)

    Is it as simple as just adding an extra 1k to my deposit?
Page 1
    • Fisa002
    • By Fisa002 11th Feb 18, 11:27 AM
    • 144 Posts
    • 61 Thanks
    Fisa002
    • #2
    • 11th Feb 18, 11:27 AM
    • #2
    • 11th Feb 18, 11:27 AM
    Usually yes or you can see if the bank will lend the extra amount. However, once you make an offer and submit a full application the lender can value the house lower. If this happens you would need to up the deposit. Are you prepared for this case ? Plus extras such as solicitors fees etc etc
    • ftb_deena
    • By ftb_deena 11th Feb 18, 11:37 AM
    • 15 Posts
    • 7 Thanks
    ftb_deena
    • #3
    • 11th Feb 18, 11:37 AM
    • #3
    • 11th Feb 18, 11:37 AM
    Thank you @Fisa002 I am able to fund the extra 1k and have extra for all the fees.

    Why would I need to up the deposit if the house is valued lower?
    • ftb_deena
    • By ftb_deena 11th Feb 18, 11:47 AM
    • 15 Posts
    • 7 Thanks
    ftb_deena
    • #4
    • 11th Feb 18, 11:47 AM
    • #4
    • 11th Feb 18, 11:47 AM
    OH I understand because the mortgage lender wouldn't be prepared to lend as much.. I'm hoping that won't be an issue but if that is the case I am prepared funds wise.
    • Fisa002
    • By Fisa002 11th Feb 18, 1:12 PM
    • 144 Posts
    • 61 Thanks
    Fisa002
    • #5
    • 11th Feb 18, 1:12 PM
    • #5
    • 11th Feb 18, 1:12 PM
    Ok now to submit your full application and get the valuation done. That will be your main hurdle. If you head over to mortgages forum theres a great thread absout awaiting mortgage decision. Join the party over there and good luck with your purchase
    • kingstreet
    • By kingstreet 11th Feb 18, 2:26 PM
    • 33,349 Posts
    • 18,041 Thanks
    kingstreet
    • #6
    • 11th Feb 18, 2:26 PM
    • #6
    • 11th Feb 18, 2:26 PM
    I suspect most would look for a reduction in the agreed price of the property if it's downvalued by the lender's appointed surveyor.

    Not many think "let's increase my deposit and pay over the valuation" although I'm sure some sales do complete that way.

    Eventually.
    I am a mortgage broker. You 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. Please do not send PMs asking for one-to-one-advice, or representation.
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