Can I still get the mortgage?

The property that I am interested in is at least £240,000.

The most I can muster is only £12,000 using all my o/d and credit cards.

So, how on earth can I possibly buy that property?

HSBC won't lend me more than 90%LTV which means they are willing to lend me £216,000 tops which I need to source out the £24,000 elsewhere but where?

I can meet half that on my own but the other £12,000??How?

So any advise regarding this is kindly appreciated.

Many thanks.

The most I can muster is only £12,000 using all my o/d and credit cards.

My forehead sure is suffering some severe damage from repeatedly slamming forwards and hitting the desk after reading many posts this weekend. Is it half-term and children are making prank posts or something?

Uhm, Zz, the idea is you know that job or business where you work? You get paid a salary or earn a profit. You save up some of that money then you use that to pay the deposit. It ain't that complicated. Or am I missing something?

Welcome to the brave new world where mortgages revert back to a much older style of working. You know, like expecting people to have a deposit and to be able to afford them. It's unfair on you, you may think, but that's the reality of the market we live in now.

I have to say, I am with you on this one kitten. The idea of actually saving money seems to be missing from todays younger people. Now, it's all about how much you can borrow on credit. But it gets worse, there is almost no accountability amongst credit card debtors who are increasingly blaming the card companies for giving them the credit they 'never asked for' - what rubbish. Try having the kids/car/house you can afford by saving, instead of the kids/car/house your credit card indicates you can afford. Buy now, pay never.

I know people who haven't got a pot to p*** in, yet insist on having the latest mobile phone!

I cannot believe that anyone could consider starting a huge mortgage by borrowing the deposit on overdraft and CC's; even if you've done the math and 'think' you can afford the huge extra monthly payments, trust me, you can't. Within a year or two you'll need a new washing machine, a replacement car etc, and your bills for energy, rates etc will keep climbing..

A recipe for years of misery, followed possibly by homelessness; don't, just don't.

Enjoy what you can have instead of regretting what you think you 'should' have; you're still better off than 98% of the people in this world.

Regards, Pete.

Thanks for all the replies.

Maybe I didn't tell you the whole story. I live in London zone 5/6.

But anyway thanks for all the replies.

I have lowered my aims and probably I can afford something like £150,000 with 95%LTV but lenders are hard to come by these days with a good mortgage deal.

That means I am looking at a mortgage of £135000.

So does anyone know which lender can help me without the HLC and crazy rates like 7.5% pa fixed for 2 years.

The HLC is about £3000 which will be added to the m/gage.

Maybe I will wait and see or I will offer that price for properties asking for £180,000-£200,000

It may be a silly offer but that is what I can afford.

If they will accept good, if not ..take it or leave it :)

Ah, reality intrudes; 'I have lowered my aims', 'what I can afford'. Brilliant, if only everyone had the same attitude. Good luck, wish I could help with lenders, bet somebody can, come on...

Yes oldmanhill. Thanks.

Look,if I can secure a loan of say £142,500 for a property priced at £150,000 (95%LTV) I will be in a good position to sellers who want to sell to further reduce their pain.

I am a FTBuyer hence no chain and promise that the deal will go through if they are willing to relent.

That means quick sale no hassle.

So I will aim to offer £145-£150,000 for a property priced at £180,000 which is about 20% less than the asking price.

They can accept or they can reject.

If the latter happens,I am keeping my money and will continue building my deposit but still I will offer 20% less the asking price even when I have a 10% deposit or more.

The reason is that I can see the market is correcting itself to more realistic price in current market climate as the UK house prices have been artificially inflated and unsustainable in the short and medium term.

The average property price should only appreciate 5%-8% pa tops or if market favours maybe 10 % pa but not 20%pa like what we have seen for the past 4-5 years.

So I am trying my part n correcting the market and if the vendor doesn't agree,fine, I still have the money and will keep it or invest elsewhere.

At the end of the day they will still have depreciating asset and crippling mortgage to worry about :)

Ah, what a conundrum; on the one hand, I have not a lot a sympathy for those who jumped on the bandwagon to make a quick buck - they take their chances along with any gambler.

But I have to feel sorry for people who had to buy at the peak and now face a loss.

Still, from your point of view, it's a buyers market and their loss is your gain - I just hope it's someone who can afford the loss.

Cheers.

Well its only a 'loss' if they sell. Since the price will eventually rise it makes little difference. If its a second house as an investment then to be honest do they need your sympathy? If you can afford a second property you most likely can stand the loss...

from

A 24 year old saver with no credit card (yes we do exist Skywalker)