Mortgage Property Value Question

All Around You

Hi,

I'm looking at a mortgage calculator and after I provide my salary it says it can get a property of up to a certain amount. Obviously the loan value is 90% of this amount. The thing is that I was looking to buy a property of slightly higher value and I have a deposit of about 2/3 of what it would cost. I only need a loan amount of less than half of what the calculator said I could get but the property value is a little higher.I've never applied for a mortgage before so I'm wondering if that property value figure is absolute even if I have a large deposit.

Trish56

Op the calculator is just telling you that based on your salary what the max amount that you can borrow and calculator is automatically assuming that you will require a 90% mortgage and indicates what price property you should be looking for.

If you have over 50% deposit you should have no problem qualifying for a mortgage however this will depend on your regular monthly savings or rent payable through your bank account and a clean credit record.
Best of luck.
Trish 56

All Around You wrote: »

Hi,

I'm looking at a mortgage calculator and after I provide my salary it says it can get a property of up to a certain amount. Obviously the loan value is 90% of this amount. The thing is that I was looking to buy a property of slightly higher value and I have a deposit of about 2/3 of what it would cost. I only need a loan amount of less than half of what the calculator said I could get but the property value is a little higher.I've never applied for a mortgage before so I'm wondering if that property value figure is absolute even if I have a large deposit.

All Around You

Thanks for the reply Trish. I thought it was obvious that I'd have an easier time getting less than the calculator listed but since its my first time, I was afraid there was something I was missing.

Appreciate the help.