Ask an Expert
Ask an Expert Do any lenders accept vendor gifted deposits?

Do any lenders accept vendor gifted deposits?

Q: Do any lenders accept vendor gifted deposits?

A:

Yes some lenders will accept a vendor gifted deposit or other cash incentive provided this does not exceed the maximum of 5% of the purchase price. If the gifted deposit does exceed 5% of the purchase price, then this may affect the maximum loan that you can borrow. For example, if you were looking to buy a property for £ 200,000 and you received a £ 10,000 (5%) vendor gifted deposit then you would need to put down a minimum of £ 10,000 (5%) deposit from your own funds in order to take out a 90% loan-to-value or £ 180,000 mortgage. If you were to receive a £ 20,000 (10%) vendor gifted deposit on a property with a purchase price of £ 200,000, the mortgage lender would reduce the maximum loan that they could offer you down to £ 171,000 and you would need to put down £ 9,000 deposit from your own resources. Call us now 02075194900

These questions are for information purposes only and do not contain all the details you need to choose a mortgage, ask one of our advisers for a personalised key facts illustration
Return to the Questions archive

This Month’s Top Fixed Rate

Fixed rate
Initial rate: 1.35%

Period: 2 years

Rate will revert to a variable rate, currently 4.99% thereafter
The overall cost for comparison is 4.46%

Get This Rate

This Month’s Top Variable Rate

Variable rate
Initial rate: 0.97%

Period: 2 years

Rate will revert to a variable rate, currently 4.99% thereafter
The overall cost for comparison is 4.37%

Get This Rate

Some of this month's top interest rates are listed above; the actual rate will depend on your circumstances. Please note that this information does not contain all the details you need to choose a mortgage, ask one of our advisers for a personalised key facts illustration on 020 7519 4900. The rate displayed may become out of date at short notice.

Latest Articles/News

Case Studies

Are you looking to remortgage your home? We have the banking contacts to pr…

Latest/Related News

Are you aware of the latest requirements for self-employed mortgage applica…

Press Release

States proposal to waive document duty on bonds hailed as a victory for mor…

Press Coverage

“Victory” for first time buyers…

LML Brochure

Download our brochure to find out more about Largemortgageloans.com and what we can offer

Click to Download

Sign Up

Subscribe now, to hear from us on the latest mortgage market news, products and services.

Client Testimonials

Close

Live chat with
our team now

Chat

LargeMortgageLoans.com