Own Home Scheme Pros and Cons

rosspwilliams

Thanks Superfran.

superfran_uk

Just an update - we should be exchanging tomorrow. Then completion 10 working days after that. Fingers crossed it all goes smoothly - I can't say it has so far!

Cloister

yay! Congrats SF - yours is moving much quicker than ours I hope it all goes ok!

blunt_crayon

cowgirlmoo wrote: »

My partner has just been made redundant so i'm guessing i will have to apply on my own now, not sure what happens in this situation.

The house we want is only 90K - hopefully get it for around 80k so not very expensive but we have saved for over a year just to get the 3k to pay the fees so need ownhome for the deposit.

I'm hoping that they will give us 20k and i can get a mortgage for 60k so that our mortgage payments are quite low and we can pay off some of the loan (other then this i am planning to sell the house after 5-10 years for a profit and pay it back)- this sounds like a small amount compared to what other people are asking for so hope this doesnt go against me.

We only have my wage of 15k at the minute so well below the 60k limit. We're not key workers but are first time buyers.

I think I have read somewhere that the minimum salary is 20k. I may be wrong though. But on 15k can you really afford to buy? If it has taken you a year to save 3k on two salaries, then it doesn't sound like you should be trying to buy a house on one low one.

superfran_uk

blunt_crayon wrote: »

I think I have read somewhere that the minimum salary is 20k. I may be wrong though. But on 15k can you really afford to buy? If it has taken you a year to save 3k on two salaries, then it doesn't sound like you should be trying to buy a house on one low one.

You are correct to point this out, well spotted. Ownhome are clear about the 20k lower limit, and common sense says that no couple on 15k between them can afford to buy a house. Even a tiny mortgage would bankrupt them in a matter of months! We probably spend more than that per year on CT, food, bills and going out, without even thinking about the rent/soon to be mortgage!!

tek-monkey

Is that 20k before deductions? I earn 22, but my pension and loan account for about £250/month. Would this put me below the threshold do you think? I can manage the rent here fine and a mortgage is the same pretty much.

Playboy999

Where are Ownhome clear about the 20k lower limit?

superfran_uk

OK ignore me, it must be HomeBuy that this applies to! Eek I am sorry, mixing my schemes AGAIN. There will be a lower limit, however it is not publicised. I was almost sure that the £20k lower limit was on a letter somewhere but haven't been able to find this, therefore I take back what I said above.

However, getting sustaining a mortgage on 15k...near impossible I should think. I would never consider buying a house on a single low wage, it's begging to go wrong.

superfran_uk

And, having looked at the Ownhome site (which does not contain as much information as it should IMO) it now says you can get up to a 35 year mortgage! So maybe the information given to me has since changed, as 100% this was NOT the case when we applied!

thinksaving

We are now in the final stages. We have received our final mortgage offer last Thursday in the post but haven't heard from Places for People yet regarding our final loan offer. I have phoned them and they said they have been informed by the bank that the final mortgage offer has been issued but they said they are very busy at the moment so can't tell me when they will be able to process the final loan offer. Can anyone tell me how long we can expect to wait for this?