First Time Buyer's Guide To Mortgages

namratasnv

SunnySusie wrote: »

Also possibly of interest, this little FTB story from a friend who worked hard to get on the property ladder. It can be done, its not easy but he bought a three bed semi in London after saving a large deposit over a number of years, thanks to plenty of MSE tips!

Yes, I was also thinking the same and it happened with one of my known person also. It is not that easy to have such big savings and it shows that how well he managed everything.

djhworld

I'm 23, I earn £30k a year and I've just moved to London.

I don't want to be renting all of my life so I was just wondering what the minimum income amount would be to buy a (reasonably - if you can call it that!) priced property in London as a sole buyer.

Every mortgage calculator I've tried, even with a 10% deposit amount put in returns 0 products because my income is too low.

What is the minimum income is to buy a London property? Or am I doomed to staying on £30k and stuffing some of that in my landlords pockets?

sleepybee

gmatthews73 wrote: »

Would anybody be able to give me some advice on submiting a offer in for a property.i recently put a offer in for a flat however i was told by agent that i needed a morgage agreement first to prove funds were available.however in the meen time i have been getting harassed by the agents morgage advicer trying to get me to take out a morgage with him.i have told him i am using my bank ,now he is saying if i am not getting a morgage through him my offer will not be submitted even though i have produced a morgage agreement to prove funds are available until i now produce bank statements,pay checks etc.is this normal as this is the first time i have tried to buy a property.i would be grateful for any adice many thanks g matthews

Hi gmatthews

I've posted a similar question and you might find the answers useful too- sounds like your EA is a LOT worse than mine....

[its the thread called "[B]Estate Agent requirements for making an offer... seem a bit over the top..."][/B]

Doshwaster

djhworld wrote: »

I'm 23, I earn £30k a year and I've just moved to London.

I don't want to be renting all of my life so I was just wondering what the minimum income amount would be to buy a (reasonably - if you can call it that!) priced property in London as a sole buyer.

Every mortgage calculator I've tried, even with a 10% deposit amount put in returns 0 products because my income is too low.

What is the minimum income is to buy a London property? Or am I doomed to staying on £30k and stuffing some of that in my landlords pockets?

At 4x income you are looking at £120,000 - which will possibly buy you a garden shed in some parts of London.

Even at 10% deposit, Mortgage rates are very high at the moment. You need to get to 25% before they become reasonable. That would mean a £30k deposit on your shed. A whole year's pre-tax income.

Your options
1. Earn more
2. Marry someone rich
3. Move out of London
4. Any combination of the above.

kimsulyn

Hello, wondered if anyone had any advice...

I'm wanting to buy a house on my own. I've seen a house I like, I've got 10% deposit saved...
But that's it!
I wondered if I would be able to lend more as its a repossession and needs carpets and I would need domestic appliances, fridge freezers and the sort! Or should i just keep saving- the only problem is I know this house will go to auction soon if they dont sell it.

Stewart_Anthony

My daughter is getting a mortgage through Leeds Building Soc and apart from the £800 arrangement fee they also levy a charge of £30 for Buildings Insurance. The exact quote on the agreement is:

'If Buildings Insurance is not taken through Leeds Building Society a charge of £30 is payable and will be debited on comnpletion'

My question is ' is this legal, and if not who should she approach to address this?

Doshwaster

Stewart_Anthony wrote: »

My daughter is getting a mortgage through Leeds Building Soc and apart from the £800 arrangement fee they also levy a charge of £30 for Buildings Insurance. The exact quote on the agreement is:

'If Buildings Insurance is not taken through Leeds Building Society a charge of £30 is payable and will be debited on comnpletion'

My question is ' is this legal, and if not who should she approach to address this?

Sounds a bit dodgy but I cannot advise on the legality. Chances are that it is going to be cheaper just to pay the £30 and go elsewhere.

Mind you, it would be no different to saying "£830 arrangement fee and a £30 discount if you take out our insurance"

boonkoh

kimsulyn wrote: »

Hello, wondered if anyone had any advice...

I'm wanting to buy a house on my own. I've seen a house I like, I've got 10% deposit saved...
But that's it!
I wondered if I would be able to lend more as its a repossession and needs carpets and I would need domestic appliances, fridge freezers and the sort! Or should i just keep saving- the only problem is I know this house will go to auction soon if they dont sell it.

Implying from your situation, I am guessing you are buying a bog-standard house/apartment. While this one might seem like the perfect one, its always worth nothing that there are hundreds if not thousands of almost the same design/layout/space/etc in your area, and if you pass on it now, one will inevitably come up within the next few months.

Its only in situations like if you want to buy a 7 bedroom mansion in South Ken where its one of a kind that you should feel the heat. Otherwise I recommend you save up to at least 15% deposit for a better mortgage, and a few grand too for appliances, furniture, and also "just in case" money, if you find like damp, rot, electrics, plumbing etc when you move in.

I_am_mad

Hi all,

Me and my fiance really want to buy a house we have seen one which we really like for 85000 which has been repossesed. What do you think a sensible offer on this property would be? With this in mind I have £11,000 saved which is more than a 10 % deposit. I have looked into a mortgage which offers a repayment of 419.20 a month which C and G. Apart from that I dont know much about mortgages, which ones are the best out there? My fiance earns 21,000 a year and I currently am looking for work when I do get one I should hopefully earn 22,000 a year. What are the chance of my fiance getting a mortgage on his own wages?

Thank you

pluto5star

Hi Andy/Everyone,

We have already registered a new build and applied for a mortgage with Halifax, everything was goin on fine until they found out that there is a problem with my husbands surname in the passport, we have never had a problem with the passport before, and they haven'nt given us the exact result whether they have granted the mortgage or not, its been a month exactly and each time we try to get in touch with the new homes who are dealing with this, they say its still in the process. In the mean time the builder (taylor wimpey) have put the house back on their website for sale,
I would like to know if they can do that, i.e put the house back on the website when it is still registered in our name. The house is not for sale until we get it confirmed from the New Homes/Halifax that we cannot get a mortgage for this house, thats what i thought, What can we do about this? i am sure its the same house because that was the only one with the 4 bed house which was left and we were the last ones to register for the house.

Any information would be appreciated

Thanks