First Time Buyer Advice Please!

pjbltd

Hi forum,

Been a while since I posted anything but I was hoping I could get peoples' wisdom on Mortgages and Flat buying for a first time buyer looking to get onto the property ladder.

My scenario is the following:

Salary: 45K
Years with employer: 3years (in Feb '11)
Savings: 65K

I was considering:

Maximum Price for Property: 250K
This would require Mortgage borrowing of: 185K [250 - 65]
Deposit % ~ 25% [65/250]

What I am wondering is...

What is the likely interest rate I could borrow at?
And what would be the monthly cost?

I currently rent which costs I estimate with all bills included about 700per month so would like to weigh it up against this.

Any help as always is much appreciated,

Thanks,

pjbltd

Phill_555

Compare some mortgages here and see if you can qualify to apply for them.

This website can calculate repayment levels depending on certain variables.

Thrugelmir

pjbltd wrote: »

I currently rent which costs I estimate with all bills included about 700per month so would like to weigh it up against this.

If all bills are included then you need to draw a full budget of expenditure not just mortgage costs. To weigh up the affordability.

Also you'll need to find money to pay legal fees for the purchase.

You may find little choice in the way of mortgages if you wish to borrow £185k on your salary. As its over 4 times annual salary.

Remember the larger sum you borrow the higher the monthly repayments. Every 1% rise in interest rates while you mortgage balance exceeds £150k will add £125 to your monthly outgoings.