How to Buy a Home in Manchester With a 5% Deposit | Mortgage Market Update 02/10/20

The effects of the coronavirus have heavily hit the mortgage market and it’s still recovering. The whole economy has been affected; The impact has impacted everyone differently in some way or another.

At the moment, lenders are only offering 90% mortgages (10% deposit), which can prove quite expensive, particularly to First Time Buyers in Manchester looking to purchase a property in Manchester.

There are ways, to get onto the property ladder with a 5% deposit. With our help, we thought that it would be within your best interests to explain to you how this can get achieved using the Help to Buy in Manchester or looking into Shared Ownership:

Shared Ownership

The Shared Ownership scheme can also benefit you get onto the property ladder with a 5% deposit. This scheme lets you purchase a percentage of your mortgage and then pay the rest on rent.

Additionally, this percentage usually is anywhere between 25%-75%. As you only own part of the property, you share the property with the government.

Like the Help to Buy Scheme, you have to qualify for the Shared Ownership scheme and meet specific requirements. Here we listed the rules that you will need to adhere to qualify:

• You can’t have a household income of more than £80,000 per year
• Can only access if you can’t get a mortgage any other way
• You need a good credit history
• You can only own this property

If you are struggling to obtain a standard mortgage, the Shared Ownership Scheme could be your best option. If you want Shared Ownership Mortgage Advice in Manchester, you should approach a Mortgage Broker.

They will tell you everything about the scheme and see if you qualify for it. Talking to a Mortgage Broker in Manchester could say to you exactly what you need.

Summary

Even though your options may be limited when trying to get a mortgage with a 5% deposit, these two schemes could be great options to consider. Both methods are still holding their weight in the mortgage market.

Whether it’s a Help to Buy Scheme or the Shared Ownership scheme, we can help with both.

Firstly we will check if you qualify for a scheme and whether it will suit your personal and financial circumstances or not. If everything looks good, we can get your mortgage journey started.

Getting Mortgage Advice in Manchester could be within your best interests, especially in this day and age.

The mortgage market is up in the air at the moment, so getting advice will be extremely beneficial, especially if you are a First Time Buyer in Manchester. Feel free to get in touch so we can discuss your mortgage options.