First Time Buyer looking for some help

mbynwa

Hi,

I am a first time buyer that is looking at starting out on the property ladder. My annual wage is £25,000 and the only monthly outgoing is a loan for £157, this will be paid off in three years time. I am hoping to have a deposit of between £15,000 and £20,000.

I would like to wit about 6 months, as hopefully prices will have come down even frther then, and i will be able to afford a nicer place. The maximum price for a one bedroom flat that i am looking at is £130,000.

Is this going to be possible? or will i struggle to get a mortgage?

herbiesjp

As long as you have got a good credit history you should find lenders willing to agree that mortgage for you

You are looking at the higher end of income multiples but there are lenders who will do this for you.

mbynwa

I had some trouble about 4-5 years ago, where i got myself into some debt, and was unable to pay credit card bills etc, no CCJ's or anything like that, will that affect my application?

Also do you know what lenders i should be looking at, i went onto Halifax website, and they seemed to offer the higher range etc.

Thanks for your help.

herbiesjp

mbynwa wrote: »

Also do you know what lenders i should be looking at,

Thanks for your help.

Sorry - simple answer is no

Without knowing anything about your situation I am not in a position to give pointers.

YOur first step would be to get an up to date copy of your credit file. The information on there could indeed harm your application, especially when looking at top end income multiples.

Then you should discuss the information on the credit report with a whole of market adviser and let them come up with some options after that have studied your scenario

mbynwa

Sorry - simple answer is no

Without knowing anything about your situation I am not in a position to give pointers.

No worries i can understand that. Thanks again for your help, you have been great

Reds-on-Sea

mbynwa wrote: »

Hi,

My annual wage is £25,000 and the only monthly outgoing is a loan for £157, this will be paid off in three years time.

You say your only monthly outgoing is £157? What about bills/travel expenses/food/socialising etc etc? You'll have to take this all into consideration too.. These are all financial commitments too, you'll always default on a loan payment before going without food for a month! :rolleyes:

lv1109

Reds-on-Sea wrote: »

You say your only monthly outgoing is £157? What about bills/travel expenses/food/socialising etc etc? You'll have to take this all into consideration too.. These are all financial commitments too, you'll always default on a loan payment before going without food for a month! :rolleyes:

But bills/travel expenses/food/socialising aren't taken into consideration when using a lender that assesses affordability using income multiples.

beecher

My wage is about the same as your own, but I don't have a loan. I'd find it very very difficult to cope with a mortgage of anywhere near £100,000 and think you need to look carefully about how much money you need for bills like fuel, council tax, transport, food, etc. I'd advise against going for the highest mortgage you can get but instead work out what you can realistically afford.