The Question ….
The Answer ….
The general rule of thumb for a deposit when buying a property …
Heidi, the general rule when buying a property, is the bigger the deposit the better – simply because you will get a lower interest rate and a greater range of mortgage products available to you. However, you should be able to secure a mortgage with a deposit as little as 5% of the purchase price E.g.
There is however, a greater choice of mortgage available if you can obtain a 10% deposit (in your case £15,600)though, and the underwriting is sometimes a little less strict.
There are some specialist schemes where a mortgage lender will use a parent or grandparents property as security instead of you putting down a cash deposit – these are not very common though, and are a bit more complex than a standard mortgage. Your parents or grandparents would need to seek independent legal advice too as they would be securing borrowing against their home as well as your own.
Book an Appointment with a Mortgage or Financial Adviser
You are always best to seek independent financial advice from a mortgage adviser or broker or a financial adviser. These people are the experts when it comes to mortgages and will be able to help you secure a Mortgage in Principle
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