Is it even possible...

gotenks1321

...for me to get a mortgage/house with what I'm earning now? At the moment I'm on a few pounds short of £18k a year and would like to think about moving out in a year or two after I've cleared my credit card and most of my loan. I've just turned 21 so still got plenty of time left but is it even worth thinking about yet?

Cheers

sarkin

5 times income = 90,000 plus deposit of 5%

lonestar1

for a sensible rate think 18 * 3.5 = 63K assuming property you are buying is over 70K along with you having a 10% deposit saved + fees

halia

depends where you want to live, you could do it up here and I can think of a good few other locations as well, but then you probably aren't in any of those areas!
I've just exchanged on a large end of terrace 2BD house with potential for loft conversion or bathroom ext to create BD 3, double glazing and GCH, south facing courtyard garden with raised flower ebds etc) for £67k

gotenks1321

Thanks.

Down south-east atm so house prices are in the region of 160k and you're lucky to get a 2 bed flat :mad: I don't mind moving a bit further afield as long as I can find a decent job, I'm in IT so hopefully shouldn't be too difficult

mpsavuk

sarkin wrote: »

5 times income = 90,000 plus deposit of 5%

I read somewhere that some beach huts have come down in price to 90k.

Only a few more years and you could maybe afford to buy one?

mpsavuk

gotenks1321 wrote: »

Thanks.

Down south-east atm so house prices are in the region of 160k and you're lucky to get a 2 bed flat :mad: I don't mind moving a bit further afield as long as I can find a decent job, I'm in IT so hopefully shouldn't be too difficult

160k for a 2 bed flat? You were lucky!

zebulon

gotenks1321 wrote: »

is it even worth thinking about yet?

You should do more than think about it:

Save Save Save :money:



(and pay off loans, cc, etc as you mentionned)

mewbie_2

gotenks1321 wrote: »

...for me to get a mortgage/house with what I'm earning now? At the moment I'm on a few pounds short of £18k a year and would like to think about moving out in a year or two after I've cleared my credit card and most of my loan. I've just turned 21 so still got plenty of time left but is it even worth thinking about yet?

Cheers

1. Clear debt.
2. Clear loan.
3. Save 10% deposit

By the time you have achieved that you may find house prices have dropped nicely into your affordable area.

Premier_2

gotenks1321 wrote: »

Thanks.

Down south-east atm so house prices are in the region of 160k and you're lucky to get a 2 bed flat :mad: I don't mind moving a bit further afield as long as I can find a decent job, I'm in IT so hopefully shouldn't be too difficult

Whatever you do, don't try and borrow £160k on £18k annual income.

Interest alone on that amount would be £10,000 per year even on a conservative interet rate of 6.25% You can't afford that.

Either find a better paid job or somewhere cheaper to buy. Now you know why it's not uncommon for people to commute over 100 miles each way for those working in the SE.

gotenks1321

mpsavuk wrote: »

160k for a 2 bed flat? You were lucky!

That's about the going rate round here Not planning on paying it though as I want a house so will be going a bit firther out

zebulon wrote: »

You should do more than think about it:

Save Save Save



(and pay off loans, cc, etc as you mentionned)

mewbie wrote: »

1. Clear debt.
2. Clear loan.
3. Save 10% deposit

By the time you have achieved that you may find house prices have dropped nicely into your affordable area.

That's the plan As long as the transfer goes then the credit card will be paid off by September next year and then I can double the loan repayments and clear that quicker too :cool:

Premier wrote: »

Whatever you do, don't try and borrow £160k on £18k annual income.

Interest alone on that amount would be £10,000 per year even on a conservative interet rate of 6.25% You can't afford that.

Either find a better paid job or somewhere cheaper to buy. Now you know why it's not uncommon for people to commute over 100 miles each way for those working in the SE.

I don't intend to. I'm prepared to move to find the right place as long as I can get the mortgage and work in that area :beer: I was just curious as to whether I'd even be able to get a mortgage with my current salary as I didn't think I would

Damn that was hard to reply with multi-quote turned off lol