Buying after being in rented aged 50!!!!

loisebony

I need some encouragement/support...I do feel pretty 'scared' when I stop to think about it!!

Seperated with one teenage son living with me
Renting for £700 per month-nice little house but just feel my money each month is paying someone elses mortgage and I would really like to put my 'mark' on a house as I enjoy interior design.

Have £41000....not a lot!
Seen house for £155.000-3 beds.....terrace, 1970's.....good space inside-garage, lovely garden. Offered accepted.
Intend to put £32000 down as deposit and then will need £118000 mortgage. I will need a bit of money for minor jobs in house.

I work for NHS £27,000-at moment contract finishes in Jan...have no worries about getting another job as someone will leave soon so will take on her permanent contract. I could work 100hrs per wk...always work aroun-never been out of work my whole career.

I have a Mortgage broker advising.....BUT

what is the general feeling by all you people??

Am I mad??
Should I have stayed in rented??
Daughter lives with me and she does pay some rent...will leave in a year though.....I then intend to have a lodger.


I just want to be working and having a home to own and enjoy making a happy home.....(had some really bad luck in life)

Im fit and well......obviously enjoy some holidays too...not expensive.....

I did think about a interest only mortgage with an ISA running.

Good credit history
Wont retire til................................maybe 68!!!!!!! now!!!!

Help....please give me some confidence!
Thanks for reading

bristol_pilot

I was thinking that you should have no trouble buying a house...until I got to the bit where you say that your contract ends in January. That, I suspect, will be a deal breaker. Apply once you get that perm job and have been doing it for 3 months minimum.

RAS

And why go for a thre bed?

bristol_pilot

Given that the OP lives in an area where you can buy a 3-bed for £155k, the LTV is less than 80% and the loan is 4.4 times salary - then why not a 3-bed? Affordability seems OK.

It will be interesting though to see whether the broker can secure a mortgage for someone who has a contract only until Jan.

abankerbutnotafatcat

Hi, I got a mortgage with Halifax whilst on a six month contract that actually ended the week after completion. It was a lower LTV though so not sure how that would impact things - but you have the option of putting down more on deposit and putting off some of the minor jobs. Good luck OP

loisebony

Yes...been niggling me about contract BUT have been employed by my Trust for 10y ++ never out of work-took 12mth contract to widen my experience...will have no trouble getting work or permanent contract, also bein NHS worker with type of work that I do....plenty of work!?

muskoka

I'm thinking your probably Band 5. Bear in mind a lot of new posts are being downgraded, so you may end up on a lower band. Agenda for Change seems to be going out the window with the wage freeze and positions where people leave are not being re-advertised unless it is absolutely critical to replace.

I also have never been out of work, but we're in an unstable economy. I'm also in the NHS & am sticking with it (for the moment) because friends who work in external H.R. are saying things are very, very bad out there. Be very wary and bear in mind you may have to take in a lodger before your daughter leaves if the job goes pearshaped.

Having said all the above, I think a 3 bed is a good idea (more rooms to rent if your having problems). You also need a money pot for maintenace on the house. Things have a habit of going wrong when you haven't got the money. The first time I bought a house, I was very nervous, but have never looked back.

And, make sure whatever you buy is re-sellable, just in case

But, all the best. I think its a fabulous idea & wish you well

loisebony

Part of my post is permanent at B6 and yes the other is B5...I am community based which is where all the work is.....hospital prevention......I do feel quite secure with my job.....that Im grateful for...

loisebony

Wish me luck...

Meeting Mortgage Broker tomorrow!
Thanks for all replies:D

Blackdog

:)

loisebony wrote: »

Wish me luck...

Meeting Mortgage Broker tomorrow!
Thanks for all replies:D

Good luck, you have such a positive attitude so I am sure you will get what you want. Your work history means a lot when you have a fixed term contract so make sure you stress the positives. Great idea having a lodger - tax free income to help pay the bills.

Blackdog

Here is some information on tax for renting out a room in case you haven't seen it. http://www.direct.gov.uk/en/MoneyTaxAndBenefits/Taxes/TaxOnPropertyAndRentalIncome/DG_4017804