FTB Using MOAT Open Market Homebuyer Scheme....

hipspasm

As above, I'm completely new to Mortgages and trying to educate myself.

I've applied to MOAT and the last thing to do on my list to complete the application is to obtain a Mortgage in Prinicpal Offer, which I assume they use to decide how much assistance to offer.

The scheme offers:

Open Market HomeBuy – this offers an equity loan so that key workers and people in other priority groups* purchase approximately 75% of the equity in a property of their own choice from the open market, subject to certain criteria. The remaining 25% is funded through the equity loan, with no interest to pay on that loan. The loan is repayable at market value when the property is eventually resold.

I would prefer to own the whole of my property but with the current prices the help MOAT offer keyworkers will be of great help to me, and I think I can repay them after the inital mortage is paid if I wish to do so. It will also allow me to afford a larger property right now.

However my question relates to mortgaes themselves. I have been given 4 IMA's by MOAT to choose from, Pauline Neve Assoc., SPF Sherwins, SRC Financial Services, Best Advice Financial Planning. I dont believe that I have to take a mortgage from these people ultimately but they contact MOAT with the inital mortgage in principal.

So the first question is - are these people any good? Anyone Know?

The next is regarding the mortgage itself, as an FTB I will be looking for a Fixed Deal, and my ability to earn overtime at random will mean I would probably like the ability to make overpayments without being penalised. However the amount being borrowed on the mortgage I cannot really say as its dependent on what MOAT may offer me. I earn 23k and my partner earns 22k. I can get 10-15k deposit from savings. I have not yet decided to take the mortgage out alone or in both names. How long a fixed deal should I look for? I would imagine its best to keep it short but I really dont know.

Any thoughts appreciated and apologies for the long post...

mummytofour

Home buy is like gold dust I really hope that you manage to get some money from them, they have a habit of running out of funds very early in the finacial yr so get your appliction in ASAP.

As for the brokers I have heard of sherwins they do a lot of shared ownership work.

But IMHO if you cna avoid home buy or shared ownership then do, only use as a real last chance for a roof over your head, the H/A will have controll over u until the day you sell.