Joint Mortgage - how much am i likely to get?

elDeeJay

Me and my girlfriend are considering buying our first home. We have a joint income of £36k (24 me, 12 her) and a decent size deposit available (£~30k).

Was just wondering if anyone could offer a ballpark figure of how much we could expect to be offered for a mortagage to buy a house?

This house-buying is a scary prospect isn't it! LOL!

tonydee

Some lenders will do 3 times your earnings some will do 5 times. All dependant on your circumstances. You have no other debt ?

I would strongly recommend going to speak to a lender to see exactly how much you can borrow or you'll find a dream home and might be let down.

Good luck

elDeeJay

thanks.
My gf owes £3k on her car, but that will be paid off in full before we purchase a hosue. Other than that, both 100% debt free.
5x sounds more reasonable - wouldn't be able to get anything decent with just 3X!

lightspeed

A & L and Nationwide both work on affordability. According to the Nationwide calculator, you could lend upto 153K based on joint incomes but excluding the car loan.

This obviously depends upon a variety of factors such as credit rating and deposit.

With a 30K deposit, based on personal experience, i would say that a max amount would be approx. 140K (3.88 x income). This would allow you to stretch to about 170K properties.

Dont forget that stamp duty and other fees may account for around 3-4K so it would be useful to decide whether or not this will be taken out of the deposit or an additional cash pot.

elDeeJay

Thanks, not as bad as I thought. Shame house prices are so obscene

MortgageMamma

you could also use the affordability calculator on royal bank of scotlands website, they are very good for fiirst time buyers in my opinion, but as inexperienced first time buyers nothing could be of more value to you than professional advice http://www.rbsip.com