Can I move house with £3.5k debt?

SkintMonkey

I earn £1,100 after deductions (a month) - do you think it will go against me to have £3.5k debt? I will obviously have cleared more of it by the time we apply for our new mortgage (own current home, want to move to second house next year), but want to have an idea of where we stand.

Thanks as always.

jessicamb

SkintMonkey wrote:

I earn £1,100 after deductions (a month) - do you think it will go against me to have £3.5k debt? I will obviously have cleared more of it by the time we apply for our new mortgage (own current home, want to move to second house next year), but want to have an idea of where we stand.

Thanks as always.

They will take it into consideration but I dont think they would reject you on that basis - I had a loan amount similar to yours and it was all ok.

Beanietdc

I earn a similar amount and when I got my mortgage I had more more debt than that and had no problems.

System

Yep y not. But is this a good time to buy? What goes up.....

Phoenix79_2

lennymfo wrote:

Yep y not. But is this a good time to buy? What goes up.....

Its never a good time to buy as a FTB! I'm still reaching for that first rung on the property ladder!

SkintMonkey

Thanks all. We are really keen to up sticks and move closer to civilisation as soon as possible and I've been concerned that my debt will hold us back. Thanks for your reassurances, feel less worried now, but still determined to clear the debt!

southernscouser

Can honestly say I haven't got much clue about mortgages but the only thing I can see is that it will affect how much they will lend you! When I 'looked' into mortgages I think they said something along the lines of if you borrow 3 times your salary or whatever they deduct 3 times your debt etc!

Like I say I ain't got a clue! :rotfl:

moozie_2

Hi there

I am a FTB so not quite the same but this may be relevant to you. When we sat with the mortgage advisor, we gave her all our financial info and for me, she multiplied my monthly debt repayments by 12 and then deducted that figure from my annual salary.

So obviously that affects the amount one can borrow. In our case it didn't affect us as we borrowed a lot less than our maximum amount allowed, with or without this adjustment.

Best of luck, I am sure you'll be fine

System

Phoenix79 wrote:

Its never a good time to buy as a FTB! I'm still reaching for that first rung on the property ladder!

As am I......!