FTB - realistically how much deposit would we need?

ClaireLR

12% :eek: so on a £55k mortgage, how much a month would the repayments be? I've just tried to work this out and I have no idea where to start!:o

I'm assuming rent would be around £225, most 3 bed houses round here are rented for £450 a month but I'll have to wait and see.

beecher

Use http://www.moneymadeclear.fsa.gov.uk/tools.aspx?Tool=mortgage_calculator

£579 over 25 years.

Keep saving would be my advice

uzubairu

Why would you want to take on a massive debt only 18 months after being declared bankrupt? :eek:

A mortgage is a massive undertaking and I think 6 months after discharge is a bit too soon to be thinking that the banks would want to lend to you at favourable rates.

With house prices falling, your best bet is to save for the next 3/5 years and build up a nice deposit and emergency fund so that you don't get into the same mess that led you to bankruptcy.

Look at minimising your outgoings so that you can save a large chunk of your income.
There are lots of ideas/comment on the Debt Free Wannabe Forum.

Like Conrad said responsible lending is key at the moment.
I think responsible lenders would steer clear of you and I would have to agree with them.

Leon_W

Yep, as Conrad says, the only lender that would entertain even looking at such an application is Cheshire (Blemain) and I can practically gaurantee 100% that it won't go anywhere.

I've had much better cases than this turned down. Sorry if that isn't what the OP wants to hear but it's the truth.

Regards

magiciansgirl

Hi, ClaireLR, those of us who have had dealings with Blemain would strongly advise you not to go anywhere near them. There are threads on this site and on the Consumer Action Group site which tell of horror stories.

ClaireLR

magiciansgirl wrote: »

Hi, ClaireLR, those of us who have had dealings with Blemain would strongly advise you not to go anywhere near them. There are threads on this site and on the Consumer Action Group site which tell of horror stories.

Thanks for the advice, I'll check out the threads.

LeonW and uzubairu - I do know that this doesn't sound like the best idea only 18 months after bankruptcy but I'm in a much better financial position now than I was then - my job is pretty secure (I'm saying pretty as opposed to totally because no-one is totally secure at the moment are they). I'm earning better money now than I was then and I've sat down and worked out exactly what I can afford - £650 a month for mortgage and rent would be my absolute limit. I'm also tired of lining someone elses pocket every month with rent that I could be putting towards my own property. I thought now would be a good time also because of the fall in prices.

Thanks for the concern but I really have thought this through

uzubairu

ClaireLR wrote: »

LeonW and uzubairu - I do know that this doesn't sound like the best idea only 18 months after bankruptcy but I'm in a much better financial position now than I was then - my job is pretty secure (I'm saying pretty as opposed to totally because no-one is totally secure at the moment are they). I'm earning better money now than I was then and I've sat down and worked out exactly what I can afford - £650 a month for mortgage and rent would be my absolute limit. I'm also tired of lining someone elses pocket every month with rent that I could be putting towards my own property. I thought now would be a good time also because of the fall in prices.

Thanks for the concern but I really have thought this through

It isn't the best idea.

You say that you are in a better financial position, but you still have only one option of a questionable mortgage provider with the possibility of a double digit interest rate.

So the bankruptcy (18 months ago) was minor blip and now you are ready to be treated the same as everone else, and be offered reasonable interest rates.

I hope you don't look back and regret not taking the advice given in this thread.

ClaireLR

uzubairu wrote: »

It isn't the best idea.

You say that you are in a better financial position, but you still have only one option of a questionable mortgage provider with the possibility of a double digit interest rate.

So the bankruptcy (18 months ago) was minor blip and now you are ready to be treated the same as everone else, and be offered reasonable interest rates.

I hope you don't look back and regret not taking the advice given in this thread.

1) I didn't know at the start of this thread that I only had one option, and as I know now that then obviously that is something for me to take on board.

2) The bankruptcy was not a minor blip at all - I don't think that I should be treated the same as everyone else as regards interest rates, I've told you what I can afford to pay and obviously if a mortgage was to be offered at higher repayments than what I've stated I can afford I wouldn't take it on. Think that must be something to do with not treating bankruptcy as a "minor blip" :rolleyes:

3) I started this thread specifically to GET some advice and look into things a little more before going to see a mortgage advisor - I can't recall ever mentioning that I wouldn't be taking the advice given.