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Mortgage Advise - Please Help
bigdon
Posts: 5 Forumite
Due to an inheritance I have received I am in the fortunate situation of being able to afford a substantial figure for a deposit. The flat I am buying is worth £138000 and I figure I can to put down £119000 as a deposit leaving me with a mortgage of perhaps around £19000. My annual salary at present is approximately £20,000 and I am a 22 year old first time buyer.
At first I had thought I could pay this off in about 7 years. However, I have around £16,000 of my money in an ISA and around £43,000 is in stocks, so I was wondering if perhaps given the current state of the stock market and fixed rate mortgages, etc, whether it would perhaps be more worthwhile for me to keep the money I have invested in ISA/stocks and borrow the rest as I think the return I will get will be lower than the low rate of fixed rate mortgages (about 4.3% I think right now) and then depending on the state of the stock market when my low fixed rate runs out, consider remortgaging with the rest of the shares/ISA cash afterwards. Is this a very high risk strategy, and is it likely to pay off in the long run?
At first I had thought I could pay this off in about 7 years. However, I have around £16,000 of my money in an ISA and around £43,000 is in stocks, so I was wondering if perhaps given the current state of the stock market and fixed rate mortgages, etc, whether it would perhaps be more worthwhile for me to keep the money I have invested in ISA/stocks and borrow the rest as I think the return I will get will be lower than the low rate of fixed rate mortgages (about 4.3% I think right now) and then depending on the state of the stock market when my low fixed rate runs out, consider remortgaging with the rest of the shares/ISA cash afterwards. Is this a very high risk strategy, and is it likely to pay off in the long run?
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bigdon
I ever I have seen one, yours is a case where you need to see an IFA, who will sit down an explain the options and risks to you.0
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