first time buyer help please!

fluffybunni

hi
im new to this site so not sure if this is the exact place to post this or not!

my partner and me really want to buy our first house. im a graduate in a secure job earning 21k and my parnter earns 22k. i have student debt but thats it and my partner has about £1000 debt left.

at the moment we have no deposit but i was wondering if 100% mortgages or graduate mortgages are off the market now??

i could probably get around a 10k deposit from family but i cant seem to find any 90% mortgages either!

also i am applying to start a phd at the end of this year, does anyone know if this affects the application?
if i was to get a mortgage with a full time job then start my phd does this effect the mortgage in anyway??

it seems so difficult for first time buyers and i was wondering if anyone can help or suggest anything or is it a matter of renting for the next 5 years to save enough for a decent deposit

thanks in advance!

beecher2

How would you be able to afford the mortgage if you gave up your job? You need a minimum of 10% deposit, plus fees - sounds like a good idea to keep saving

fluffybunni

beecher2 wrote: »

How would you be able to afford the mortgage if you gave up your job? You need a minimum of 10% deposit, plus fees - sounds like a good idea to keep saving

I would be working on my phd so I will continue to be paid by the university at around the same amount I get now:D

orangina

There are no 100% mortgages available. You need 10% minimum plus fees

You will need to consider how you will afford the mortgage once you are studying, will you still have an income?

Have you considered a shared ownership, where you own part and rent part of the house until you can afford to buy the remaining share (but you dont have to buy it) as a first time buyer you may qualify for this scheme, they are usually ran by housing associations so check them out in your area

Good Luck

beecher2

I didn't realise you could earn as much as 21k when you were studying for a Phd - that's pretty generous.

fluffybunni

beecher2 wrote: »

I didn't realise you could earn as much as 21k when you were studying for a Phd - that's pretty generous.

its 21k in the first year rising each year, it will be in london thou but generally its around 18-21k

thansk for the advice

herbiesjp

There are 90% mortgages around.

You do not state what kind of property prices you are looking at, in order to give an idea of monthly mortgage payment figure.

Have you spoken to a broker yet?

Keane16

I'd seriously consider renting.

Sounds like you're well on the way to a good career. So I imagine buying this place would be fairly temporary (3 years or less). Why slum it in a small house, on which you have to take care of maintenance costs when you can rent for cheaper, with no maintenance worries and put your extra money into savings. Plus as others have mentioned you won't need to pay all the fees associated with buying.

You have no/next to no deposit. Google "rent vs buy calculator" (I would but can't post links). Plug in the figures for a £90k mortgage vs what you'd be paying for rent over the length of time you intend to stay at this house. If it's short term you'll quickly see that all you'll be doing over those first few years is paying interest on the mortgage and building next to no equity. Plus you really should clear all your debts before taking on something like a mortgage.

I'm in the same boat. And the figures showed that renting + saving hard for 3 years will put me in a much stronger position than buying somewhere cheap. As I'll have a nice cash deposit saved up.

One advantage I have is being based up north, where house prices are heading south (:)) - London's a different market so you might not see the drops down there, plus renting is so pricey too. But at least in a few years you'll have a cash deposit. You won't know until you do sone calculations.

I guess (as others mention) we need more info on your circumstances to advise properly.

stringsmk2

Just keep renting, dont panic about rushing into buy something that you can not afford just yet.
Give it a few years, save some more money for a deposit and let the market and lending restrictions correct themselves.

you're not going to miss any boat, as there is no wind at present.

As much as it is nice to have you're own place, stay flexible, keep saving and your time will come.

hastie

Rent for now
The type of job you will eventually go for is likely to require a high level of flexibility on your part, especially in regard to location you may live in. Get rid of all debts prior to trying to raise a mortgage.

You do not really seem ready yet to buy. Set yourselves a goal over the next year of being debt free and with 25% deposit. It will help you in the long run, and I believe you are likely to pick up a good house outside of the capital as there is only a small likelyhood of houses rising significantly over next year.

Property can be a yoke around your neck if you are not adaquately prepared for ownership.

good luck:)

doire_2

fluffybunni wrote: »

hi
im new to this site so not sure if this is the exact place to post this or not!

my partner and me really want to buy our first house. im a graduate in a secure job earning 21k and my parnter earns 22k. i have student debt but thats it and my partner has about £1000 debt left.

at the moment we have no deposit but i was wondering if 100% mortgages or graduate mortgages are off the market now??

i could probably get around a 10k deposit from family but i cant seem to find any 90% mortgages either!

also i am applying to start a phd at the end of this year, does anyone know if this affects the application?
if i was to get a mortgage with a full time job then start my phd does this effect the mortgage in anyway??

it seems so difficult for first time buyers and i was wondering if anyone can help or suggest anything or is it a matter of renting for the next 5 years to save enough for a decent deposit

thanks in advance!

Thats your problem right there. You expect a bank just to hand you money just like that? The days of just turning up at a bank and getting a 90% or 100% mortgages are gone and wont be back for a very very long time.

Get saving and dont just expect a bank or family members to just give you money. It might help make you a more responsible person because one thing is for sure you haven't really thought this through have you?


Adn why the desperation to buy somewhere right now?