How can I get a mortgage on a property bought at auction?
I would like to look into buying a property at auction as I am a first time buyer, unable to get a foot on the housing ladder. After looking into various Goverment schemes, my only other option is shared ownership.
I would like to know the process of raising a mortgage for a property bought at auction.
I know that a 10% deposit is required on the day of the auction.
Is it a case of obtaining a mortgage in principle, purchasing the property and then applying for the mortgage after the sale?
I am assuming that no mortgage lender will lend money without there being a property in place to secure the loan on.
Any information on this would be appreciated
Many thanks
Get a mortgage offer before going to an auction. Make sure the lender is able to complete your application within three weeks of the sale. If you don’t have the moneyin your account in time to pay for the property you could lose your deposit.
Remember you have to complete within 28 days and don’t forget to factor in stamp duty if you purchase over £60,000.
Good luck.
Get a mortgage offer before going to an auction. Make sure the lender is able to complete your application within three weeks of the sale. If you don’t have the moneyin your account in time to pay for the property you could lose your deposit.
Remember you have to complete within 28 days and don’t forget to factor in stamp duty if you purchase over £60,000.
Good luck.
References :
http://www.channel4.com/4homes/buyingandselling/how2buy/auction_bargains.html…this site might help you but the pages take ages to load well they for for me but you might not have to wait as long, good luck
References :
Get yourself a " mortgage in principle " IE the lender promises to lend you the money on the property if it meets their criteria.Be prepared to pay out for survey on a property you are interested in pre auction.Make sure you have your legal team informed well in advance as this side can slow things up considerably. Site survey & serches are very important ,as many properties ent up in auctions because they are unmortagble due to a variety of reasons. Best of luck !
References :
bought & sold @ auctions
I think you will have a hard time doing this because when you buy at an auction they want paid in full within a week or so, and you will never get a mortgage approved in such a short time
I believe you need a large line of credit in order to buy something at an auction. put it on your credit line and then try to get a mortgage to pay off your credit line
References :
Impossible.
If you want to buy a property at auction you need to bring your checkbook.
References :