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Too little deposit to buy a dream home? Here's what you could do....

Have your home buying plans been affected by Covid 19?

Do you have too little deposit to buy? There are still options you might want to explore!

Pre Covid 19 lenders would lend to home buyers who had as little as 5% deposit and there was generally no issue with getting these mortgages. But these things have since changed and now, to have a choice of lenders and a decent interest rate, buyers need 15% or even more as a deposit.

There are rare deals for 10% and nearly no 5% ones so what can buyers do to still be able to get their dream home?

There are Government schemes which might help and, as long as you understand fully the ins and outs, you might still be able to move home.

Shared Ownership scheme, for instance, allows buyers to purchase between 25% and 75% of the house value and pay rent for the rest. The good thing is that deposit needed is calculated based on the share being bought so if someone is buying a 50% of a property worth £200k as an example, they will only need deposit based on £100k (50% of £200k).

This way, the deposit you have saved up may actually be sufficient for you to buy the house.

You would still need to pass the financial assessment and be able to afford both mortgage payment and rent, but at least you would not need to pay for the whole house at once.

You can then buy the rest of house shares in future.

Should you feel you would like to get more information about this scheme, do get in touch and our adviser will explain



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GRN Financial Services

Mortgage broker

15 Bath Street,

Leek

ST163JQ 

REMEMBER! YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

GRN Financial Services Limited act as a credit broker not a lender.

OUR FEES and charges vary depending on the services we provide to you. We typically charge a fee of £350 payable on application.
Some of the products/services shown are not or may not be regulated by the Financial Conduct Authority’.

GRN Financial Services Ltd is a company registered in England and Wales. Registered number: 11200120. Registered office: 15 Bath Street, Leek, Staffordshire, ST13 6JQ. GRN Financial Services Limited is an appointed representative of PRIMIS Mortgage Network. PRIMIS Mortgage Network is a trading style of Personal Touch Financial Services Ltd which is authorised and regulated by the Financial Conduct Authority The information in this email is sent in confidence for the addressee only and may be legally privileged. Unauthorised recipients must preserve this confidentiality and should please advise the sender immediately of the error in transmission. If you are not the intended recipient, any disclosure, copying, distribution or any action taken in reliance on its content is prohibited and may be unlawful. GRN Financial Services Ltd accepts no responsibility for any loss or damage resulting directly or indirectly from the use of this email or the content.

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