| Comment | I go to Natwest, given my earnings and 10% mortage (so 20k deposit) they say I can have a £200k mortgage.
In England I go look for a property valued at £200k, I put in an offer, I get a house, done.
In Scotland I find a property with a home report value of £200k, its going to go for £250 ... ok lets look for houses that will sell at £200k so with a home report value of £160k, wait whats that, I need to pay 16k deposit on my mortage and 40k in cash ....
If you cannot raise large amounts of cash then it does not matter what mortage you can get from a bank, you just cannot buy a house in most of Scotlands central belt. It has absolutely nothing to do with the lending risk.
This isnt some made up scenario, I was looking at houses in England and Scotland at the same time. |
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