Mortgage aspects of apartments

Red Alert · 17-09-2011 03:15PM #1

Just a few questions in relation to mortgages for buying apartments:

Do mortgage providers require insurance on apartments? I presume not, since most blocks have a block insurance. I presume you still need life assurance.

Are mortgage providers likely to look less favourably on one bedroom apartments than two-bedroom units, even in established/mature blocks?

What's the highest LTV that they'll typically advance on apartment purchases these days? Or does the LTV generally depend more on the borrower's ability to pay? (Note to mods: if this question counts as financial advice, then just edit/delete as appropriate.)

unclebill98 · 17-09-2011 08:04PM

One bed had been a no no a few years back, not sure about now.

Ltv can be as high as 90% but will vary from mortgage provider to mortgage provider and the status of the buyer, be them ftb or an investment etc.

Life cover yes, but I'd say get contents insurance too.

cookie1977 · 17-09-2011 08:58PM

While block insurance covers everything that's fixtures or fittings it wont cover contents. So you'd still need contents cover (although it's not required by a bank for a mortgage). You would need life assurance cover as a requirement from the bank for your mortgage.

Red Alert · 19-09-2011 07:22PM

Thanks very much folks!

Mortgage aspects of apartments

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