advice for a first time buyer

ftbuyer_3

Hi there just after a bit of advice.

I'm intersted in purchasing a property in the next few years either outright or as part of some kind of shared ownership deal(if I can find one). I currently earn 22,000 and have an outstanding loan with natwest of 19,000 which i've got another 4 years to go before it's clear(been paying it now for 2 years). I'm interested mainly in a 100% percent mortage. If I was buying a percentage of a house a la shared ownership is that still classed as an 100% mortgage if i'm only buying a share of the property?

Any advice?

Thanks

herbiesjp

There are only a few lenders that will lend 100% of the share you are buying, and yes they are classed as 100% shared ownership mortgages.

Most lenders will look for at least 5% deposit of the share you are looking to buy

madfrenchgirl

ftbuyer

a lot of people are going to second me on this with more details

is your loan a student loan? in this case, you'd be better off repaying the minimal amount and save whatever overpayment you usually make into a deposit

secondly: 100% mortgages are never a good idea... if you want a shock, go to https://www.charcolonline.com and enter all your bits in there and see what a 100% mortgage makes you pay in interest in total.

my advice to you, from another ftb who is trying to move in sometime this year, is to save up a nifty deposit and then go and see a IFA who will offer you the best deals. Then, and only then, when you know what you can afford, start looking for a place.

anyway, good luck in whatever you decide to do.