New here some advice from you guys

witney123

I currently have approx £95,000 equity and want to purchase a house priced at £300,000 this would mean I would need £205,000 mortgage if I used all my savings on selling fees, legal fees, removals and stamp duty.

My question is could I get the multiple on my wage alone of £47,000 + £2500 bonus ( lowest estimate ) as my wife has now quit work and looks after our first child and second on the way.
and/or
Am I mad to use all my savings and try if possible to cover everything on a mortgage?

I would appreciate peoples expert advice or personal experience

Many Thanks in advance.

herbiesjp

As long as you have no other ongoing financial commitments then I think that you could well find some lenders willing to agree that mortgage for you.

However it will depend a lot on your circumstances and affordability, so careful analysis of your finances would be a priority here especially as there is just the one income.

witney123

Thanks herbiesjp


However it will depend a lot on your circumstances and affordability, so careful analysis of your finances would be a priority here especially as there is just the one income:
Something I am concerned about, however I have zero on credit cards and no loans just the domestic bills to pay and council tax at the moment I would say for those £280 a month.

I have seen options for 30 year mortgages, I guess Iam dragging this out, lowering monthly payments but paying in the long term.

Bermuda_John

Your bonus may not be counted towards your mortgage application as mostly only guaranteed income is allowed.

You will also pay stamp duty on this purchase.

You must also consider the affordability of the mortgage, some VERY rough figures.

You get 3000 net on average.

Mortgage:

capital @ 25 years = 685 a month
interest @ 5% = 854 a month

total = 1539 a month leaving

1460 for you to live on........................ is that enough?

silvercar

The Coventry BS gives 4.3 x salary if your earnings are over 35k and include half a guarenteed bonus, so you could just do it with them.