Porting my mortgage and taking out new mortgage

bigbananas · 11 March 2010 at 2:47PM

Hello,
I am wondering what would be the maximum ££ amount I could get with the following:

£120K current mortgage with Nationwide, and sold house for £136K (leaving £16K equity)
I have £20K lump sump saved.
40K a year net salary.

Have seen Nationwide mortgage advisor and been told it "will be no problem" to purchase a £200K property.

This is what he came up with:
Lump sum + equity = 36K
minus selling & buying fees (3K) = 33K

To purchase property @ 200K
200K - 33K = 167K

I can port my mortgage of £120K
167K - 120K = 47K

So new mortgage would be 47K and apparantly I would be borrowing it as a 85% mortgage so he gave me a figure of 4.7% APR

This is fine, but we didn't discuss borrowing more at the time. My partner and me have been looking around and can only find properties we like at £250K-£275K. I would like to know if based on what I've told you, would it seem likely I can borrow upto £275K ?

kind regards BB

VIGILANT22 · 11 March 2010 at 2:49PM

when did you see nationwide adviser..as they have changed lending criteria since last thursday....in many cases reduction on what was originally offered

Leon_W · 11 March 2010 at 2:50PM

Errrrrr 40K NET salary ? Whats the gross ? Got to be £60k+ and a higher rate taxpayer ? Employed ?

bigbananas · 11 March 2010 at 3:10PM

VIGILANT22 wrote: »

when did you see nationwide adviser..as they have changed lending criteria since last thursday....in many cases reduction on what was originally offered

oh right that's concerning - 3 weeks ago.

bigbananas · 11 March 2010 at 3:18PM

Leon_W wrote: »

Errrrrr 40K NET salary ? Whats the gross ? Got to be £60k+ and a higher rate taxpayer ? Employed ?

Oops! I ment 40K Gross!
(60K a year I wish!)
I'm employed yes.

Leon_W · 11 March 2010 at 3:26PM

Try this

http://www.nationwide-intermediary.co.uk/content/calculators/aff_calc.aspx

Splitting the income between the two of you I couldn't get much above £165 ish