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First time buyer help

I am seriously considering buying a home soon/later. I am currently renting.

I am new to all this, have done bits and pieces of reading but still unsure about the whole process. So please, help me as much as possible.

I currently work for myself, im a contractor (have my own LTD company)

So, say if I like a property, how can I provide the funds to purchase that property? What types of mortgages are there and what is the best currently for a first time buyer?

how is that mortgage generally repaid back? is it per month and would it be like paying rent as I currently am except, im buying the house (bit by bit until it pays off over say a 25 year period?)


im just confused and want to get things right so I know what I can go for/cant go for.

would I have to pay a deposit? if so - geneally how much would that be of a property of around £200K?

how much of a morgage do people go for on such a property? if they go for more than what is advertised of the property then why do they borrow more?


yes, im new, have no clue and a first time buyer!

thanks
«1

Comments

  • poppysarah
    poppysarah Posts: 11,522 Forumite
    Have you got 3 years worth of accounts? plus 10% minimum deposit?
  • i have 2.5 years of accounts.... but before then i was working/studying, after that, i started my own company.

    10% deposit? kinda... but not so much. i guess I need that huh? But i heard some stuff about say shared ownership? Whats that?

    is there other ways of not paying the deposit? Why is that required?
  • poppysarah
    poppysarah Posts: 11,522 Forumite
    Because we've had ten years of debt indulging binge house buying which has been credit crunched....

    Save up a deposit.
  • sure thanks but its difficult...im looking for my next client/work...credit crunch dont help!

    no other way?
  • zone
    zone Posts: 249 Forumite
    Try and get a £30-40k deposit.
  • ok... that will take me 5 years i guess considering the current recession
  • beingjdc
    beingjdc Posts: 1,680 Forumite
    Not sure anyone's going to want to give you a mortgage anyway if you're "looking for your next client but it's hard"! What are you going to pay it back with if you don't find one? That's what the deposit's for - if they have to take it off you and auction it to recover your debts.
    Hurrah, now I have more thankings than postings, cheers everyone!
  • well hey its not my fault we are in a recession..... but it will be paid. ive never had a bad credit, always pay bills ontime, and have alot of savings on the side
  • beingjdc
    beingjdc Posts: 1,680 Forumite
    firehawk wrote: »
    have alot of savings on the side

    Not if you use them for your deposit!
    Hurrah, now I have more thankings than postings, cheers everyone!
  • yes i know but its the way it is. the rent im paying well that would be for the mortgage id be paying back if you see what i mean...

    meh. nevermind. guess its just not possible especially if you are on your own!
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