Mortgage with 20% deposit

[ScillyGirls]

I don't think I will have time to sell my flat before I make an offer on my next place so I am considering just using cash reserves, and to deal with selling my existing flat after I have purchased a new one. From my cash reserves I would put £120k deposit on a £600k property - a 20% deposit.

I'm here to ask for experiences from anybody else who has bought with a similar ratio or house price.

Is putting down 20% average, or way below what most buyers put down? I would have been able to put down 50% if I had sold my existing flat already, but I just don't think I will have anywhere near enough time to market and sell.

I'm a high earner so repayments won't be too much of a problem but I am wondering if the deals/interest rates are really bad at only 20% deposit with an 80% mortgage?

I'm already talking to advisors and experts and awaiting their advice.

Thanks!

The biggest hit will be the (hopefully temporary) 3% second home stamp duty surcharge. You can reclaim the surcharge if you sell the flat within 3 years.
Plus paying 2 sets of council tax/utilities.
Also, make sure you have unlimited repayment possibilities.

A 20% deposit should be enough cushion for the current downturn. As a high earner you would be able to quickly pay down the mortgage - so it seems reasonable to me to do it that way.

You could always get a mortgage without ERCs (& hopefully expensive fees), then when you sell your house you can remortgage onto a better deal when you pay the additional capital.
It would just be a matter of doing the sums to see if it makes financial sense to do that.

hi, it's all 6%+ interest for fixed two years regardless of deposit amount. if you did have 35% deposit it might reduce a very small amount, but usually staying above 6%. 5 year fixed is around 5.22% interest with 35% or more deposit. you need a mortgage broker for best outcomes, so shop around first. to be honest though, it's weighing up if paying a larger deposit is even a good investment in this property market right now? you might regret it if there is a housing crash? could you invest in something better with the difference? only you really know.

Thank you for the food for thought folk, appreciated!