Mortgage deposit

[Faith1630]

Hi there. My husband and I are hoping to buy our first home together. We have an AiP and have made an offer but we are £1,200 short on our deposit. Does the mortgage company need proof of the deposit as soon as you start the application for the mortgage or are we ok to be short as long as we have it (which we will) by the time the money needs to change hands? We are so worried about missing out on this house. Thank you!

They did when we brought our home, we had to show we had the funds near the start, but not sure if that's standard practice or not

Didn’t have to show deposit funds for a good few weeks, around 1/2 way into the process. A good solicitor will understand if you have proof of 90% of the deposit and politely explain that you’ll have the rest by the time it’s needed. Just be honest

The mortgage company doesn’t ever need proof of your deposit, do they? The solicitors will need that or the estate agents might ask for it to see if you’re genuinely proceedable.

I had to show my solicitor, not the lender. But if things are so tight that you need more time to save for the deposit, what are you going to do about conveyancing fees?

I didn't need to show til a few weeks down the line. But agree with PP, if it's that tight are you sure you're ready. Remember there are lots of fees associated with buying a home - mortgage fees, surveyor fees, legal fees, land registry fees etc etc plus the cost of repainting a home and the furniture inside it.

Remember there will be other considerable fees in excess of the deposit. We paid about £5k above the cost of the deposit for our place (first time buyers, 1k stamp duty).