First time buyers

tombfunky

We have recently borrowed money from parents to renovate and purchase a house. So currently we have no mortgage :j but now have almost run out of money and have not finished renovating the house :mad:

So we thought we would get a mortgage to repay parents and to cover the final renovation costs. WE are having trouble deciding on what mortgage to go for.

The house is worth about £12000 and we need to borrow about 100k to pay back parents and to finish off the house.

We plan to live in the house for a few years and then move on. we might want to turn the mortgage into a buy to let.

currently our combined salary is around £30k

Yoiur ideas please!!!!!

Ian_W

I would forget about BTL atm, let that take care of itself as and when, and just concentrate on getting a normal residential mortgage for the moment.

I take it the £12k value is a mis-type and should be £120K? If so is that the value now, or when you've finished the renovation? If it's the former there shouldn't be a problem but if it's the latter the valuer may not value it sufficiently high to get your £100k unless s/he's aware of your plans to finish when the lender might retain some money until it's completed. Hopefully in your situation, if that happens, your parents will understand you need to use some of the money to finish it off before the rest can be paid.

With combined salary of £30k [good credit history?] you should find plenty of lenders willing to advance the money but in view of the complications with the valuation I'd suggest you go through a broker. There are some linked to the mortgage section of the site but better still would be someone recommended by family or friends.

HTH & BoL.

tombfunky

yeah it was 120k as it is currently, should be worth 160K when finished.

thanks for your time and helpful advice