mortgage help

ant.7

hi can anyone help me and my family?

we are in our mid 30's and have 2 children(1 10 year old & 1 10 week old) and are currently renting a house that we pay £720 pcm.

we are in a debt management plan with the cccs and have approx £60,000 worth of debt. these debts are mainly due to divorces that both me and my wife went through 3 years ago.
we pay £820 pcm to the cccs.

we have been offered to buy the house we live in for a bargain price,but as we are in a debt management plan i dont think we would be able to get the mortgage?

we earn 60,000 plus a year.

we were hoping in an ideal world to borrow enough to pay of our debts and buy the house we live in or another house.
we would be looking to borrow approx £220,000

we feel that with what we are paying out now in rent and cccs we could well afford this mortgage and be secure for our growing kids!!

can anyone help as we tearing our hair out!!
any info would be very much appreciated!

thanks very much

tony

maninthestreet

You stand little chance of getting a mortgage if you are on a debt management plan. The amount of (unsecured?) debt you currently have is the same as your combined gross incomes. Where will you get the deposit from to buy a property? Which lender is going to lend you £220,000 on a property worth only £160,000?

_Andy_

How much deposit have you got saved up?

Conrad

A number of points to consider;

You will need at least 20% deposit

The lender may request a letter from the debt managers that they are happy for you to use cash to buy a home and not pay down the existing debts

With 20% deposit the rate will be something like 7%