Have debts - but want to move!!

dimpski

Hi
Just wanting a bit of advice as this has been whirling around in my head!
we are both 41 & 41.We own a property that has just been valued at £197k, our outstanding mortgage is £70approx (11years) but we have debts of £9500approx.
My predicament is would we get a new mortgage? we did think about remortgaging but have also thought that we would like to move. we are only looking at houses in the price range of £185-190k.
I dont know if a lender would lend to us as we have this debt.
We have been told it would cost about £8500 to sell & buy (buying a property with value of £200k max) We want to clear all debt off and then have a mortgage of no more than £90k max
your thoughts would be appreciated.

flower3200_2

my suggestion is to approach an Idenpendent Mortgage Adviser for expert advice in this respect. Firm and factual information will leave you better placed to decide either way if you want to move forward with the house purchase or not.

CLAPTON

you haven't mentioned your income

getmore4less

Do you understand why you have the debt and done something to make sure this will not happen again?


As has been said whats the income?

What are the benifits of moving to something of similar value? A lot of cost involved)

dimpski

joint income of £48k approx
The move would mean we would have more room with a larger garden away from what is becomming aggravating neighbour!!
it would also clear the debt (yes I know why and have rectified - some was used for a replacement back boiler in the current house!!)
Also do not want to take on a huge mortgage - as eldest son will be due to go to uni in the not so distant future!!!

diable

With a 48k income and a property value off 200k you must be living beyond your means somewhere, check your finances and expenditure. Oh and I speak as someone with two sons at Uni ;p

JoolzS

Unless you have "bad" debt, then I don't see any reason why a lender wouldn't be very happy to give you a mortgage.

It appears as though you have around £127,000 equity (I'm presuming the £70 in your post should have read £70,000), less £9,500 debt, less £8,500 moving costs. That gives you a balance of £109,000 "cash in hand" so to speak. If you then borrowed £90,000 then you could easily afford a property at around £200,000. With a joint income of £48,000 and only wanting to borrow around 2X joint income I would imagine that most lenders would be throwing themselves at you trying to lend you money.

Julie

dimpski

With a 48k income and a property value off 200k you must be living beyond your means somewhere, check your finances and expenditure. Oh and I speak as someone with two sons at Uni ;p



I think your comment is a bit unfair - you have no idea why we have the debt or how it is made up. We do not live beyond our means - hence the reason we only have 11 years left on a mortgage!


Thanks to every one else.