How do deposits work when moving up the property ladder but no savings

Published: 13th January, 2016


The deposit paid by the first time buyer at the bottom of the chain will be used as a deposit by all parties in the chain.  This is covered by the terms and conditions of the contract for sale.  This is usual practice as most parties in the chain (other than the first time buyers) equity is tied up in their sale property and only released once the property has been sold.