Deposit needed and other things

Fab26

Hi everyone, here I come again with more questions for you.

My partner and I have been saving for a couple of years now. So far we must have about 40K in savings so far. We are planning to buy ideally: a one bedroom flat/ground floor with garden (can be communal) with a garage. The price limit would probably be £175,000. (So we have about 23% deposit)

We're looking into buying in South East London, areas include Forest Hill, Crystal Palace, Sydenham, Tulse Hill, Herne Hill, Dulwich and maybe Camberwell. We're open to East London, as long it is accessible via bicycle from Central London (which I guess it's possible).

So my question is: what do you think about our deposit amount for a property of this kind, do you think we could get a good mortgage deal?

Thanks for reading! :j

verytricky69

I'm know expert but I think you should find a good deal with that %LTV. We have just got a fairly good deal with 15% deposit on a £315k property. I imagine if you could get it up to 25% you'd get an even better deal.

Of course it does depend a lot on your credit rating as to what deals you can actually get. Have you been on Experian or the like to check it?

Find yourself a good financial advisor- they can really help to get a good deal. good luck with it

jonewer

Fab26 wrote: »

We're looking into buying in South East London, areas include Forest Hill, Crystal Palace, Sydenham, Tulse Hill, Herne Hill, Dulwich and maybe Camberwell.

Uhh... just be aware that a lot of the places you list above arent exactly "nice" places to live.

Make sure you know what you're getting yourself into.

Fab26

Hi, thanks for the replies.

verytricky69 - that's right, we're still saving, so we will probably end up with a larger deposit at the end. We last checked our credit ratings last year and they were good, but we were fairly new to credit cards and the like, so since then I have signed a contract with t-mobile, have two credit cards which I use and pay straight away, got my boyfriend to register the electorate roll, etc. all the things recommended so hopefully, when we check next time (we plan to in a a few months time) our credit ratings will be much better.

jonewer - These areas are actually quite nice in my opinion. Dulwich in particular, it seems very green and has a lovely residential feel to it, which I quite like. I don't know what you mean by nice though.

poppysarah

Get a 2 bed place if possible... the extra room gives you a safety net if you need a lodger or suprises.
Good deposit! Well saved!

Fab26

poppysarah - Thank you! it's been hard saving but hopefully, worth it
yes, we have come across a few properties with two bedrooms and it'd be fantastic if we did find one within our budget, so we'll see!

jonewer

Fab26 wrote: »

jonewer - These areas are actually quite nice in my opinion. Dulwich in particular, it seems very green and has a lovely residential feel to it, which I quite like. I don't know what you mean by nice though.

Oh, some of them may be nice. I dont know what all of them are like.

I do know what some are like and they are not good. Crystal Palace and Camberwell, for example, are not good places to live. Perhaps not the worst places in London, but none the less, they arent good. But if you're happy with a place, then good for you. Just be aware that there are some very nasty bits in S.E. london.

edit - and congrats on saving such a big deposit!

Fab26

jonewer wrote: »

Oh, some of them may be nice. I dont know what all of them are like.

I do know what some are like and they are not good. Crystal Palace and Camberwell, for example, are not good places to live. Perhaps not the worst places in London, but none the less, they arent good. But if you're happy with a place, then good for you. Just be aware that there are some very nasty bits in S.E. london.

edit - and congrats on saving such a big deposit!

That's true, there are nice areas within larger areas and I have spotted many around SE. That's the funny things about London, it's a bit of a mix. I am a south Londoner (Lived in Brixton for 11 years) so I know what you mean.

Thanks!! :j

pinkshoes

Another vote for getting yourself a property with TWO bedrooms! Handy should a baby come along, or if you need a lodger, or have friends to stay, plus 2 bedrooms are generally more sell-able than 1 bedrooms when you choose to move on... (1 bedrooms have a very limited market)