First time buyers!!! NEED HELP..

claire_x_x

Me and my boyfriend are looking 2 buy a house. We have been looking at 50% ownership, which my mom said would be good for us as were first time buyers and we can always buy the rest of the house later on.
I'm just a bit confused on a few things.. I was looking at this one house which is £110,000. So we would be only buying half which is £55,000 and it said that the rent each month £126, does that mean thats all we would have to pay each month?
I'm well confused..
Mortgages, if we get a mortgage i don't understand the lending... especially with this 50% ownership. Is that £126 the monthly mortgage thing or what?, Or would i have to go get a mortgage on that £55,000 50% share and pay whatever that monthly price is on top of £126??

This is all well confusing and me and my boyfriend really wanna get a place.
Also my mom said to me they work out the mortgage payments or whatever on our monthly income. and we have 2 wage slips and stuff.. And would we have to have a deposit on a 50% ownership...


IF SOMEBODY KNOWS THE ANSWERS I WOULD BE REALLY GRATEFUL.. REALLY NEED SOMEONES HELP!!!!!

xxxxxxxxxxxxxxxxxxxxxxxxxx

beecher

You'd have a mortgage for the £55,000 and the rent on top of that. Over 25 years at 6% that'd be £350 or so, so you'd be looking at £350 + £126, or something similar.

I've no idea if you need a deposit or not - know nothing about shared ownership. I'm sure someone will come along soon who does.

I think you should go for professional advice rather than depending on your mum to tell you about it.

herbiesjp

beecher is right about the figures

Most lenders will want some kind of deposit - the deposit will be based on the share you are buying and not the full value of the property. Different lenders will have different amounts but it will be, say 10%, of £50k and not £110k

As you need help, you would be best placed to get professional help from a whole of market adviser, who will be able to hold your hand through the process

First of all though, have you gone through the application process for the shared ownership scheme with the Housing Association? Have you been agreed to proceed?

claire_x_x

erm no, its just like a maybe type of thing at the moment. but we want to know everything before we sign anything

Rednoseranter

Whilst this is an excellent site for information, it is no replacement for obtaining professional advice - they are accountable for the advice that they give. You'll firstly need to find a housing association in your area that will buy a property with you, once you've been accepted onto their scheme you can then find a property - and from there a mortgage. Good luck.