Mortgage Questions

purplesmiler82

Hi all

Me and my other half have been considering moving house for a while but want to get our wedding of the way first in May. We have been talking about it more and more of late but we have a few questions I am hoping you can answer for us:

1. How much can be borrow: I earn just over 30K a year and him about 65K but he pays maintenance to his ex wife of just over £400 a month (this will stop in about 18months time). We would have about 30K deposit
2. In terms of looking for a mortgage would we be limited to what we could get/length of term due to age as this will obviously effect monthly payments - I am 28 and he is 50???

Any help you could give us would be greatly appreciated

hcb42

hi, have you tried the mortgage calculator on here, then any comparison sites...

http://www.moneysavingexpert.com/mortgages/how-much-mortgage-borrowing#result

Wh05apk

helencbradshaw wrote: »

hi, have you tried the mortgage calculator on here, then any comparison sites...

http://www.moneysavingexpert.com/mortgages/how-much-mortgage-borrowing#result

Not seen or used that before, but have to say what a waste of time it is! it takes no account of commitments or ages.

I inputted (?) the op's incomes of £30k+£65k and it said a maximum of £290k, which is only about 3x income, just tried Abbey's calculator, over 15 years they would do £396k, obviously subject to credit score and deposit.

I am sure other lenders would offer similar maximums, I am not advising the op, to go for the maximum, but she did ask "how much could be borrowed"

purplesmiler82

Wh05apk wrote: »

I inputted (?) the op's incomes of £30k+£65k and it said a maximum of £290k, which is only about 3x income, just tried Abbey's calculator, over 15 years they would do £396k, obviously subject to credit score and deposit.
QUOTE]

Wow that a difference of over 100K, i didn't realise there could be such a variation between lenders. Obviously we would look into monthy payments and not just go for the maximum.

Is there any reason you say a term of 15 years??

Wh05apk

purplesmiler82 wrote: »

Wh05apk wrote: »

I inputted (?) the op's incomes of £30k+£65k and it said a maximum of £290k, which is only about 3x income, just tried Abbey's calculator, over 15 years they would do £396k, obviously subject to credit score and deposit.
QUOTE]

Wow that a difference of over 100K, i didn't realise there could be such a variation between lenders. Obviously we would look into monthy payments and not just go for the maximum.

Is there any reason you say a term of 15 years??

15 years to take your partner to retirement age.

Yes, a massive difference, and it is this sort of mis-information that really annoys me, you seem reasonably intelligent, and so if you see that you can "only" go to £290k,you will beleive it, that will affect your behaviour, which on a larger scale will have a knock-on effect on the housing market, I am not saying that you should go for the max, but you should be aware of what you can do.