I am only looking for a small one or two bedroom house to start with. It will be my first property. Myself and my partner have an annual income of around £25000. Is anyone out there in a similar situation. Have you bought a property?
2007-01-09 21:09:30 · 6 answers · asked by Mike A 2 in Business & Finance ➔ Renting & Real Estate
You can def do this. I was in exactly the same boat as you and I was very scared (im normally quite chilled).
My advice would be go for a 100% mortgage on a house that needs work. You will then (hopefully) be able to bid under market value meaning your mortgage value is less than the value of the house and you will have some equity even though you went for a 100 % mortgage.
Use your 5 k to do the place up. 5 K can go a long way if you have good friends and you take the time to shop around and barter with the shops.
Also you you can get the place looking like how you want. Aslong as you can make the monthly payments you will be fine.
Go for it dude!!!!!
PS if you find out the real difference between APR and your fixed rate let me know
2007-01-09 22:19:24 · answer #1 · answered by www.4psmarketing.com 1 · 0⤊ 0⤋
As deposits got, it's not that big, but it's enough. The standard mmortgage multiple to work out how much a bank will lend you is 3.5 times your combined salarioes, though some lenders will increase that multiple to something like 5x. So 3.5 times 25,000 is 75,000. Plus 5 grand deposit gives you 80,000 to buy something with, depending on where you are in the country that might be ok. If you earn around 25,000 each then it's 3.5 x 50,000 which is 175,000 plus 5000 deposit = 180,000
What you should so is look through mortgage best buy tables and work out what is best for you - yahoo lists them on their finance page
http://uk.finance.yahoo.com/
There are thousands of different mortage products, but they boil down to a few basic options, work out what is important to you - ability to overpay? Fixed rate mortgage so you know exactly what it will cost each month for a certain time period etc
2007-01-10 05:17:25 · answer #2 · answered by Anonymous · 0⤊ 0⤋
I'm sure you will be Okay, if you are young and in regular employment. Don't forget that young first time buyers are the life blood of the property market. THEY need YOU.
I caution you , do not borrow too much money though. Remember to have sufficient left over so you can still have fun. A mortgage isn't the be all and end all.
2007-01-10 05:14:57 · answer #3 · answered by Not Ecky Boy 6 · 0⤊ 0⤋
It's unlikely, as you will need not only a deposit (usually 5%), but also removal company fees, solicitor fees etc. However, since you are clearly good at saving, you might get a sympathetic ear from a building society. Don't go to a bank - they are only interested in keeping their shareholders happy, not you.
2007-01-10 05:15:20 · answer #4 · answered by Anonymous · 0⤊ 0⤋
It's sh!t being a first-time buyer now. I don't know how you are going to make that work. If you got a mortgage of 5 times your joint salary (which is pushing it) you're only going to get £125,000 which is going to get you f--- all.
Sorry and good luck.
2007-01-10 05:15:59 · answer #5 · answered by C T 4 · 0⤊ 0⤋
yes, but get one up north they are cheaper, once your on the ladder you can sell up for profit and move where you like.
2007-01-10 05:13:08 · answer #6 · answered by Anonymous · 0⤊ 2⤋