ftb mortgage advice

ritch-vtr

hi i have seen a property that i will be viewing tomorow,
asking price of property is offers around £95k.

i have been looking into mortgages for ftb with ltv of 90%
i currently have £5k in savings for a deposit as you can guess im £4.5k short of the deposit for the house if i was wanting to buy it.

what is my options for raising the rest of deposit or are they any 95% mortgage deals about for ftb ??

i have looked at the possibiltys of maybe putting a offer in of the asking price based on i pay 5% deposit and owner puts up 5% deposit to sell
based on the fact they accept.

other options i have looked at is 0% interest free credit card for term and transfer the remainder to pay off into another 0% interest free card after the term.

i have asked my parents but they havent got spare cash to help me.

i am 22 and have and basic income of £24k but with overtime i earn roughly around £30k a year

i live with my parents at minute but wanting to get a place with my partner i can save roughly around £1300 to £1500 a month

i have had a few quotation on what i can borrow based on my basic salary and they have come out roughly around 100k so that would be no problem
i have no other debts etc

any advice would be much appreciated

thanks ....ritch:beer:

loopyanna

If you can save £1500 a month i personally would wait for 3 months so that you had a 10% deposit and look then... I don't think that the bank would take your overtime into account as it isn't guarenteed salary but i'm not 100% sure on it.

If you are definately wanting to move now then maybe go and see a broker and see if they know of any deals at 95%...?

Good luck.

TrickyDicky

The only realistic way you are going to be able to raise the extra deposit required is by saving it. Any debts will only count against you when applying for a mortgage. And asking the seller for 5% all sounds a bit dodgy to me, and I doubt the mortgage company would go for it..

ritch-vtr

loopyanna wrote: »

If you can save £1500 a month i personally would wait for 3 months so that you had a 10% deposit and look then... I don't think that the bank would take your overtime into account as it isn't guarenteed salary but i'm not 100% sure on it.

If you are definately wanting to move now then maybe go and see a broker and see if they know of any deals at 95%...?

Good luck.

hi thanks for reply.

whilst i can understand where your coming from regarding saving for 3 months.

the property will have been sold by then and the problem is they dont come up for sale very often on that particular road we want.

i know theres plenty of other propertys out there to buy but this one ticks all the boxes.

the overtime shouldnt be a problem the quotes i have done are all based on £24k a year its just the deposit thats killing it.

basically just need to know if theres any other options to be able to buy with 5% deposit and as stated 0% interest free credit card if any one as done it this way before themselves advice would be appreciated on how it went.

thanks

loopyanna

I agree with Tricky, a credit card loan, or any loan, would count against you at the application process. With regards to the vendor paying 5% deposit - your solicitor has to declare this to your mortgage lender, so they may well continue to see you as a risk with only a 5% deposit.

I think a broker really is your best bet. And if you have to wait and save you will find somethin else and at the end of the day you won't be there forever

Good luck.

kinglewis

Save a bigger deposit.. I know this house will look like the 'perfect' house but there will be many more to come. Don't bend over backwards for a house you may not be able to afford (in the future).

leveller2911

Get off the "I want it now attitude" Rich, it will bite your !!! in the long run...

Work hard and SAVE, its the best way in my opinion.

becominganobsessivesaver

To be honest you'd be looking at 8 weeks for a sale to get to completion, so if you held off putting an offer in for 6 weeks it'll probably still be on the market and you'll have your additional deposit saved up.
You could also consider putting your other day-to-day expenses on a credit card (as long as you know you will have enough to pay off at the end of the interest free period.)