First-Time 100% Interest only?

Injured_2

stanmoresaver wrote:

Obvious question- probably an even more obvious answer-

Lose the car?

Lose the car...possibly, but then I'd have to buy another car anyway...as I have to drive to work, plus my situation isn't that bad that I'd have to work and live in the same location (Farnborough, Hants!)

I appreciate your point though and it's something I may have to consider.

stanmoresaver

Good Luck- It's a tough one- maybe a compramise and down-size car until you are settled and know what car you can afford.

Btw- If you want advice- there's a very good broker who posts on here who is not too far from you.

Hope this helps

SS

Injured_2

stanmoresaver wrote:

Good Luck- It's a tough one- maybe a compramise and down-size car until you are settled and know what car you can afford.

Btw- If you want advice- there's a very good broker who posts on here who is not too far from you.

Hope this helps

SS

I think my options may just narrow down to this fact that I can't really have my cake and eat it. Though it is a very lovely cake!

PoorDave

But which is better - the taste or the appearance?

Paying off the car loan you have at the moment using additional borrowing on a mortgage will not magically make the £440pcm loan repayments go away. You will still owe the same amount, but the interest payments will probably be lower, making it a bit more affordable, but only a bit.

Your problem depends on how much it would cost to move somewhere else to rent. If this turns out to be about the same as buying (on a properly costed like for like basis, not just "finger in the air" costing) then buying would be an option.

You're still probably better off saving for at least a 5% deposit (£7k on £140k house), which should give you more options and better mortgage deals.

How would you pay for solicitors and the like when you move?

meanmachine_2

So the OP wants to convert from a shorter term loan to a LOOOOOOONG loan, which means they'll still be paying off that car in 25 years' time - long after it's a rusting heap of nothing.

Not very moneysaving is it?

My car cost me 600 quid and starts every time - touch plastic.

If I did choose to buy a new one I'd have to realise that I wouldn't be able to buy a house at the same time.

Obvious really.

But in today's have-it-all society greed is good, right?

Injured_2

meanmachine wrote:

So the OP wants to convert from a shorter term loan to a LOOOOOOONG loan, which means they'll still be paying off that car in 25 years' time - long after it's a rusting heap of nothing.

Not very moneysaving is it?

My car cost me 600 quid and starts every time - touch plastic.

If I did choose to buy a new one I'd have to realise that I wouldn't be able to buy a house at the same time.

Obvious really.

But in today's have-it-all society greed is good, right?

Harsh. I stated from the start the circumstances have changed, life with all the careful planning in the world throws you the odd curveball now and again. I feel vilified for even asking the question.

mountainofdebt

Why not rent somewhere else?

Injured_2

mountainofdebt wrote:

Why not rent somewhere else?

Indeed, it's a distinct possibility...but I've rented for two years already and there's a part of me that wants to get on that ladder again. I'd rather just move the once rather than twice in a fairly short space of time.

Or...

...to get back to investing in bricks and mortar, if it appeases other posters.

zag2me

Yep, ditch the car and you would be able to afford it.