What Is Realistic?

Grecian_2

I would be grateful if anyone has a view on the following:

I have recently been made an equity partner in a law firm, does anyone know of any lenders which specialise in lending to individuals in that situation? I know Scottish Widows provide a "professional mortgage" product, however that appears to be more focused on employed professionals rather than equity partners.

What I am really looking for is an idea of how much I will be in a position to borrow under a mortgage. My partnership drawings for 2009 will be in excess of £500,000 (gross), however on the other side of things I have credit card outstandings of c.£50,000. I would ideally be looking to purchase a house for around £1 million (I am currently renting) but fear the deposit requirement at that amount will cause me problems (I might be able to raise 10% in short order but that would be a stretch). Ideally I would simply wait and accumulate a sizeable deposit, the problem is the particular house we want has just come on the market so timing is critical.

I know I should probably just call up a financial adviser, it is just that this board seems to throw up a number of good ideas/background and I would therefore be very interested to hear any helpful advice you have! Many thanks in advance.

lukekelly_2

I'd guess you will be able to find someone to lend you money for that property in your situation, and if it really is a house in a million then it may be worthwhile for you. The (a?) problem will be that with your small deposit you'd be paying heavily for that property. Wait until you have a decent deposit and you'd get a much better mortgage deal and so be able to either afford a better house for the same payments or a comparable house for less.

Your credit card debt also sounds very expensive, it's largely unrelated to your buying a house but you could save a lot of money by reducing that debt. Put that extra income towards saving for a deposit and with your income you'll have a healthy savings pot in no time.

Grecian_2

I don't disagree with the point about holding off for the present with a view to getting a better deal later on, however my wife is pretty set on the house in question!

Robert_Sterling_3

Grecian wrote: »

I don't disagree with the point about holding off for the present with a view to getting a better deal later on, however my wife is pretty set on the house in question!

What price keeping your wife happy?

silvercar

You have to look at that house realistically. How long has it been on the market? Are the sellers desparate to sell?

The other thing to remember is that you are out of normal first time buyer territory. Most buyers going after a house in that price range will have a property to sell and a whole chain of buyers and sellers until the chain ends at a mre normal first time buyer buying for less than 200k.

Not only are you in a very good position (from the sellers point of view), but you should not be in any rush. Houses at that price range take a good while to sell.