New mortgage

Keensaver

Hi all,

I am about to see what mortgage I could get with my girlfriend( first time buyer, no debts). I already have a home, and ongoing joint mortgage commitments with a sibling..will this affect our ability to acquire a new mortgage? I have a good credit history and have never not paid my mortgage payments.

The current mortgage provider is Nationwide, who have assured me that if I were to move out it would not affect my joint mortgage status.

Thanks for any help

CloudCuckooLand

You can have as many residential mortgages as your income can support (and you can raise deposits for).

So, a Lender will take into account the regular outgoing for the place you have with your sibling, then decide what that leaves for you to affordably (in their opinion) take on with the G/F.

If you haven't already, draw up an exit plan for the sibling place. When you start a family, and want a bigger house, it might be inconvenient timing for your sibling to take on that place on their own.

Keensaver

Thanks for the advice

Any benefits in going back to nationwide for further mortgage?

Wh05apk

I think this is the danger of seeing a seller in a branch and not a mortgage "advisor" this will clearly affect your ability to borrow again, as you will need to proove affordability based on the new mortgage + the full amount of the existing mortgage.

Keensaver

Ok

I have no other debts, have never missed a payment, have a secure job in the NHS, my room in the property I owe with my sibling is rented..which covers the mortgage costs...does any of that help?

does the fact that I rent my room out effect the mortgage with nationwide?

Wh05apk

If you are renting the room (lodger?) the lender will not take it into account, if the whole property was rented on an AST, most lenders would either disregard, or disregard most of it, depending on the amount of the mortgage/rent.

Keensaver

Different question...as a previous homeowner, and my girlfriend as a first time buyer...are we eligible for any first time buyer deals? not sure what the legal stance on this is.

Does first time buyer status effect stamp duty?

thanks

Wh05apk

Lenders do not normally offer different deals to FTB's.

With regard to stamp duty your girlfriend would be eligible for enhanced reflief, however as you will be on the property, the property will not be eligible, so full stamp duty I'm afraid.