I hope somebody can answer this question for me please.
Is there a minimum value for a property that you can get a mortgage for?
Reason being there is a house for sale at 70k which needs some work but it is structuraly sound and is habitable.
If it is possible to get a mortgage on a property of that value, would banks still offer a 90% mortgage or would their LTV ratio be higher?
Frankly speaking, i have recently seen houses selling for less than 60 grand. For that price I would go for a personal loan rather than a mortgage and pay it off over 5 years. It sure is a buyers market out there. ,
Frankly speaking, i have recently seen houses selling for less than 60 grand. For that price I would go for a personal loan rather than a mortgage and pay it off over 5 years. It sure is a buyers market out there. ,
Getting a personal loan of that size might prove difficult without security. In any event it may be more tax efficient to get a mortgage. The APR or a personal loan would likely be far higher too, and a mortgage generally can be overpaid or negotiated at a reduced term, if the OP wants to do this.
Having said all that, I think getting a mortgage or a personal loan of that size now will be difficult. Regarding the house itself, I assume the lender would insist on a engineer's report. The OP might be better checking the loan possibilities with lenders and brokers first.
Is this not a bit like buying a site. You may end up borrowing a lot more than €70k. The bank may require you to show that you have the cash available to do it up.
While it's hard to get a mortgage, is it harder to get a smaller one than a larger one?
OP, your best bet would be to make enquiries with various lenders & brokers. That's the only way your going to find out what loans & what terms and conditons are on offer. The lending scene has changed hugely, we can only speculate here on likely scenarios. I assume you would meet normal lending criteria, and you have a 10 % deposit, given that, the next step is to make proposals and see what comes of it.