zopanueva

A strange question so not sure if this is the place for this but thought I'd tap into the wise minds I've observed here over the years… Obvioulsy I appreciate no one can give me financial advice but I was just wondering if anyone had any thoughts about something I've missed.

I'm looking to make a house property purchase over the next few months. I'm currently undecided between getting say a 85% LTV mortgage or a 80% LTV mortgage + loan as it seems to lead to a lower overall interest cost.

The benefit of the 80% LTV route relies on being able to get a loan at the best rate. However, equally I don't want to complicate my mortgage application by having a loan there which seems "unaffordable". My question is around timing, which should I apply for first the mortgage or the loan? I'm guessing the application of the first will show up in the credit check for the second. I'm inclined to apply for the mortage first as that is what is most important to me but as I currently don't have a mortgage I'm not sure if that works in my favour with the loan application?

(As an aside I do actually have the savings to make the 5% difference myself but that would wipe out most of my savings which psychologically makes me very nervous. I guess I'm willing to pay a little more interest to maintain access to some cash readily)