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75%LTV Mortgage Advice needed please
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hopefullbuyer_2
Posts: 3 Newbie
Hello money saving experts,
I need some advice please. I want to buy a property which is for sale at 159k, I have 25% deposit and earn 25k per annum.
Can you recommend a lender that will loan my the £119k required? I have an excellent credit history and credit score but have tried the main high street banks and they will lend around 89 to 95k.
Yours hopefully
I need some advice please. I want to buy a property which is for sale at 159k, I have 25% deposit and earn 25k per annum.
Can you recommend a lender that will loan my the £119k required? I have an excellent credit history and credit score but have tried the main high street banks and they will lend around 89 to 95k.
Yours hopefully
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Comments
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Any debts? if so what are they; what are the balances and what are you monthly payments?0
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Thanks for the quick reply, no debts whatsoever, currently living in rented accomodation too0
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You are looking for 4.76 times your salary. It is too high, thats why people are offering you up to 95k (3.8 times). This is realistic, unfortunately it sounds as though your aspirational house purchase is not.I can take no responsibility for the use of any free comments given, any actions taken are the sole decision of the individual in question after consideration of my free comments.
That also means I cannot share in any profits from any decisions made!;)0 -
Some lenders can consider this multiple, and even consider a lodgers rent as income where you intend to find one. If lodger left that would have no effect on the mortgage.0
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Regardless whether 'some' lenders might consider this income, there are more questions to ask oneself than discovering the theoretical maximum that a lender will lend.
What is the OP's future earning power? Is £25k a ceiling? IF it is, then the multiple probably is not sensible.
Will there be any other pulls on the finances in a couple of years time, that aren't in the budget now?
The main high street banks are offering him those amounts for a reason, sometimes that should be listened to over and above what a single lender might be prepared to do. Its akin to selecting the cheapest option on a comparison site, it just means there are catches later that end up costing you more.
If you have a much greater earning potential then it might not be a problem, but how much money will you have left for a rainy day or will you have ploughed it all into the deposit in order to get to the 25% deposit mark?I can take no responsibility for the use of any free comments given, any actions taken are the sole decision of the individual in question after consideration of my free comments.
That also means I cannot share in any profits from any decisions made!;)0 -
Did you try Natwest. I called them up and told them how much I earned, they said I could borrow up to 130k.
Though I haven't applied for a mortgage in principle, have you?0
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