can i get a 100% mortgage?

Question

can i get a morrtgage of £120,000 when i have debts of around £10,000 and have a joint earnings of £29,000 per year and have no deposit.. please help

Answer 1

I would not have thought so mate, sorry but I am sure you can only borrow 3.5 times main income and 2 times on other income. Work on paying of your debts and save for a deposit is the best. If you do find somebody to lend you that sort of money, interest rates will be huge and you will only end up in difficulty so wait and buy the home of your dreams in a few months or years.

Answer 2

It seems unlikely. You want to borrow over four times your annual income and have no deposit.

Most banks and building societies would see you as a bad risk because your asset (the house) would not reach the full cost of your debts (£120,000 + £10,000) if you defaulted on the mortgage payments. You also want to borrow a large amount of money in comparison with your earnings, so lenders would realise that a large proportion of your income would be going on mortgage payments and you're statistically more likely to default.

If you do manage to get a mortgage, it will have a very high interest rate. Check out mortgage brokers and financial advisers to see if they can offer you a deal. People like Halifax and Nationwide are unlikely to accept you.

Answer 3

I am not a mortgage adviser, but it does not look good. Go and speak to your bank if you are in good account with them, they may help. You may need a deposit of 5% though as it is a bit of a risk for them. The Halifax do 97%. I know some places do 100% if you are a graduate. Good luck as it is really hard these days. You could also try and pop into a mortgage centre and ask some advice?? Ever thought of shared ownership you ca buy a percentage from the housing association 25% 50% 75%. pop into the local council and see if there are any schemes in your area. we have been down that road. We own our house now the bank must like us !! It may be possible for you start and make a few phone calls some places do it on affordability not x your wages.

Answer 4

Anything is possible. But please explain why, if you have £10,000 in debt and JOINT earnings of £29,000 you want a 100% mortgage on £120,000?

But like I said, anything is possible. You will probably find a lender/broker to give you what you need, but 1) you will probably have to pay broker's fees; 2) the interest rates on 100% mortgages are astronomical, and 3) your mortgage repayments will be even more astronomical, especially since your joint income is ONLY £29,000.

Answer 5

I don't know if you can get one in your area, but I'd say that if that's the only way you can get a mortgage, then you can't afford the house - it's too much for you. Get something smaller or further out, where you'll have at least 10% of the purchase price as a down payment in cash - 20% would be even better. Otherwise, you'll be on the ragged edge of being able to make the payments, and any sudden unexpected bill can put you over the edge towards bankrupcy.

Answer 6

No way, I was earning £24,000, had no debt and I couldn't get a 100% mortgage. I borrowed £90,000 over 35 years with £12,500 deposit from Abbey and that's the best I could get. Got me on the property ladder though.

Answer 7

Some Lenders do do a 100% mortgage. Northern Rock for one, but there are others. How much you could borrow is another matter; check out one of the on-line mortgage calculators. I'm no expert.

Answer 8

I'm sure the abbey as starting doing 100% mortgages a couple of months back.

Answer 9

100% mortgages are available,you could get a bit more and pay off your debts,not sure who'd give you 120 grand on your wages though. I'd wait and try and save a bit.

Answer 10

yes you can take out a self cert mortgage www.surefirefinance.co.uk may be able to help.