First time buyer.

Deano4174

Hi, Can any one help please. im a first time buyer and im loooking for a 100% mortgage. ive been in touch with london and country brokers online and they say they can offer me a mortgage. what do i need to do now?

Any help is appreciated.

Thanks.
Dean.

tomstickland

100% mortgages are never a good idea. The rates aren't good and you have no protection should property values fall.
How much are you trying to borrow?

Deano4174

Trying to borrow £90,000

Deano4174

trying to borrow £90,000

tomstickland

OK, well you'll be better off if you save a £5K or £10K deposit.

Deano4174

tomstickland wrote:

OK, well you'll be better off if you save a £5K or £10K deposit.

ive been quoted 5% on a £90000 100% mortgage, paying £526 a month, is this good?

mummytofour

Deano4174 wrote:

ive been quoted 5% on a £90000 100% mortgage, paying £526 a month, is this good?

Intrest only or repayment? Do you know what the fees will be?

Deano4174

mummytofour wrote:

Intrest only or repayment? Do you know what the fees will be?

Repayment. not sure about the fees. its through london & country mortgage brokers. What king of fees do you mean? as london and country say they are fees free whole of market, can you explain this to me please and let me know what fees im going to have to pay.

Thanks.

tomstickland

Deano4174 wrote:

ive been quoted 5% on a £90000 100% mortgage, paying £526 a month, is this good?

It's OK - there are lower rates available, but probably not for 100% mortgages. If you can afford £526 per month then I'd suggest saving for 12 months so you have a £5K deposit.

sarah_elton

But if the £526 is instead of rent currently being paid, it will take a lot longer to save.....

I'm getting 100% at 4.99%, I know there is significant risk involved due to lack of protection against the market, which does have to be thought seriously about, but I weighed that up against how much I'd drop in rent in the time it would take to save a deposit.

sarah_elton

Fees:

Mortgage arrangement fee, or mortgage booking fee - fixed rate mortgages especially tend to have them (mine is £399).

Plus there may also be a small 'completion fee' (mine £30).

They should run through with you all the fees associated with the mortgage.

Obviously you've also got all the other costs associated with buying - are you aware of what and how much they are? If not we can list here...