30% deposit on new homes

No, the missus and I are looking at new builds.

Its not an option for everyone but for us as first time buyers its excellent.

We lend 85% of the value of the house in a mortgage
They Pay 5% depsoit
There is then a 10% interest free loan that must be settled in 10 years or when you sell the house.

So you personally put nothing down (although you really should if you have it)
 
sounds a little high, but there has been a huge upward shift, i have heard 25% from a couple of friends buying presently but they are people who previously would not have struggled to get very low deposits past the lenders
 
No. It is most certainly not standard practice. And you should tell him he is wrong and advising people incorrectly.

And as I've said before about Financial Advisors - If they are that good, why do most of them drive rubbish cars, have stupid mortgages and work in dead end jobs earning less than most people.
 
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I am in the process of trying to go from a mortgage dummy to actually knowing something about them and so far I would suggest that 20-30% seems what is being suggested most. It is a lot of cash to raise but hopefully rates would be noticeably better if paying more upfront. In the current circumstances is it better to go fixed rate or tracking base rate? Really am a mortgage newb!
 
If its a new build and a Flat you really are going to need a 25% deposit.

We are sorting our our mortgage today and where told that we have to put 25% down
 
I apologise. I was meant to put 20% in the title.

It seems from this thread that a minimum of 20% on a NEW build is standard.

TheMagicPirate said:
No, the missus and I are looking at new builds.

Its not an option for everyone but for us as first time buyers its excellent.

We lend 85% of the value of the house in a mortgage
They Pay 5% depsoit
There is then a 10% interest free loan that must be settled in 10 years or when you sell the house.

So you personally put nothing down (although you really should if you have it)
Click to expand...

Who is this with? Reason I ask is I have over 15%, but FA insists on 20% for new builds.
 
According to Moneysupermarket - At the start of July there were

"102 mortgages for people borrowing up to 90% of their home's value to choose from"

So it's not as if there aren't any (even if the rates were then quite shocking)
 
I have a 100% mortgage that's just going off it's fixed rate (save £70 a month at current rate) and to remortgage we'd need to drop a deposit of at least 25%. I have about 1% :D

Lifestyle change imminent!
 
We're looking to move at the minute and there are good mortgage rates around at 20% deposit, but there is definitely more choice with 25%.

I'm looking into "Share to buy Graduates" from Britannia. They have some great deals for Post Grad's.
 
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