FTB with big deposit

briddj

I've got a £40k deposit, no debt and a clean credit history (lucky me).

Just how much more of a difference can this make in getting a mortgage for more than 3.5x your salary?

I only earn an average amount but in London it's hard to find somewhere near 3.5x your salary! Hence the big deposit. But places I would want are still more than 3.5 salary on the mortgage itself. Would I be accepted because of my history?

anotherginger

if you have 40k deposit, and that was 20% then you would be looking at a property around 200k.

however you haven't said what your salary is or the price of the property you are interested in, so i think it will be harder for people to comment without more information.

briddj

I'm not wanting to stretch myself at all. It's salary of 33.3 on a flat priced at 160k.

_Andy_

So your question is actually which lenders would do 4.2x income then?

iamana1ias

briddj wrote: »

I've got a £40k deposit, no debt and a clean credit history (lucky me).

Just how much more of a difference can this make in getting a mortgage for more than 3.5x your salary?

I only earn an average amount but in London it's hard to find somewhere near 3.5x your salary! Hence the big deposit. But places I would want are still more than 3.5 salary on the mortgage itself. Would I be accepted because of my history?

That deposit wouldn't happen to be borrowed, would it?

maninthestreet

briddj wrote: »

I've got a £40k deposit, no debt and a clean credit history (lucky me).

Just how much more of a difference can this make in getting a mortgage for more than 3.5x your salary?

I only earn an average amount but in London it's hard to find somewhere near 3.5x your salary! Hence the big deposit. But places I would want are still more than 3.5 salary on the mortgage itself. Would I be accepted because of my history?

A good credit history is irrelevant to whether or not the mortage is affordable for you.

herbiesjp

Mortgage of £120k on price of £160k = 75%LTV. So that would mean having access to the better rates, and lenders being able to offer higher multiples/affordability calculators.

£33,300 salary on a mortgage of £120k means multiples of 3.6 times your income.

Yes you can find lenders to offer that to you.

Whether or not they offer it to you depends on you and the property meeting the other lending criteria.

Also, as stated above, just because you can get the mortgage, does not make it the right thing to do - affordability not only now, but in the future has to be looked at carefully before making a decision.

briddj

iamana1ias wrote: »

That deposit wouldn't happen to be borrowed, would it?

No, some of us are not mental when it comes it money.

Thanks for the other comments.