Loan needed for house purchase

[BlakeStan]

Can anyone help me find where I can get a £35k loan to buy a first time home? I have £165k to put down but am around £35k short. I'm only on a pension of £850 per month (+modest craft sales) but am desperate to buy this particular place. The banks and finance companies will only do a mortgage but I want to be able to offer cash myself for the property to have the best chance of securing it.

I have a classic car worth £40-45k which is up for sale and wonder if anywhere would take this as security? Thanks for any help!

 

[Partner Relations]

Is this a home to live in or a home to let?

 

[BlakeStan]

It is a home to live in. I have searched Google and only come up with banks and so on that insist it has to be a £35k mortgage. I may not qualify for that due to being on a pension so I figure a lump sum loan would be best. Also it means I'm a cash buyer of a house so in a strong buying position. Just can't find the £35,000.

 

[Gordon - Commercial Finance]

Get a bridging loan for the 35k secured against the property. Exit strategy for the bridge being sale of the car.
These loans can often be completed within a few weeks, sometimes even days so you would be in a good position straight off.

 

[BlakeStan]

Thanks - a bridging loan sounds right! I'm on it...

 

[Gordon - Commercial Finance]

You need to find someone who will do regulated bridging loans (regulated because you will live in the property).
Many brokers and lenders don't bother with regulated business because it can be a bit paperworky...personally I generally avoid regulated business but if you're struggling to find someone let me know and I'll sort you out.

 

[garlarowland]

As Gordon - Commercial Finance said a bridging loan would be the best alternative. Another option would be going for a logbook loan if you are not able to sell the car. You can get around 80% of your car's value as a loan.

 

[Ian J]

As Gordon - Commercial Finance said a bridging loan would be the best alternative. Another option would be going for a logbook loan if you are not able to sell the car. You can get around 80% of your car's value as a loan.

Logbook loans are great as long as you don't mind interest rates of 400% pa

 

[garlarowland]

Logbook loans are great as long as you don't mind interest rates of 400% pa

True
But there are some who provide a lower interest rate than that. Just have to look around for the best deal.

 

[Gordon - Commercial Finance]

True
But there are some who provide a lower interest rate than that. Just have to look around for the best deal.

If anyone manages to find a logbook loan that's cheaper than bridging please let me know. That would be nothing short of a miracle.

 

[Mark T Jones]

As Gordon - Commercial Finance said a bridging loan would be the best alternative. Another option would be going for a logbook loan if you are not able to sell the car. You can get around 80% of your car's value as a loan.

Absurd suggestion

Log book loans are short term funding options

 

[BlakeStan]

Thanks for your answers. I certainly don't fancy 400% interest! I haven't had any figures back yet from a couple of companies as I have not yet secured the house. Am wondering what might be the best rate and from what source. Might be better to let the car go under value if I can't get a fair deal.