First Time Buyer - Help

perry_groves

Hello, can anyone help?

I recently went for some independent financial advice and was told that if I could gather 7 grand then with my salary I could get a mortgage of 140 000. I have been thinking of asking my parents to help so that I could potentially borrow more. They now have a small amount left on their 25 year mortgage. Their house would probably be worth 250 000 so my question is what are the options available to us and would it be possible for them to help. I know of the following ways:

re-mortgage
Guarantor.

Would anyone be able to talk me through the way these work and what the repayments would be (roughly)

UK007BullDog

Your parents could remortgage their property and use that money to put towards your deposit.

Its pretty easy to find out how much the repayments will be. Just use the calculators you find on lenders websites.

However there could be a snag. How old are your parents? Will they be able to repay the mortgage? Their income when pensioners will cover their mortgage? Will the mortgage go into their retirement and so forth.

The best is to take your parents and yourself to a Whole of Market Independent mortgage Broker and together get some advice. You are dealing with your parents future here, not just yours so I suggest they get advice from their current lender or bank and you then together visit a broker for advice.

Maybe your parents could just get an unsecured loan for the £7,000 and give you that. Mortgages start at £25,001 and that is a lot more than what you need. They could also get a second charge on top of their mortgage. There are many options, but it has to be one your parents are comfortable with and you as well.