Mortgage for 19yr Old First Time Buyer ?

JarofHearts_2

Hi Everyone )

Well I have been going over and over in my head and I am definetly ready to get myself onto the property ladder.

I am 19, I have been working ever since I could.

I currently live with my parents but have previously lived in my own for a year before moving back in with my parents (not through choice lol)

I have around £6000 in savings for a deposit (I was thnking getting a small property around £60000 or under) , I live in the north east so this would be achievable and I would only want to get a small manageable house for me. I would be living alone again and I have researched into it and I could afford this sort of money.

I wouldnt want to get a property any more than the above money because I dont want to live beyond my means and this is just a little starter house for me to get me going.

I have extra money set aside also for legal fees etc.

As I have lived myself before I have all the furniture etc ready so I wont have much outlay when it comes to this.

I work in Sales and earn about £15,800 , in commision I make between £300-£400 extra a month, I understand that commision will not be taken into consideration when applying for a mortgage but I have done some comparisons etc and I the mortgage I would need is manageable on my wage.

I know I am young and I dont really have much of a credit rating so was wondering what is the likelyhood of being able to achive my little dream ?

And if I cant do it myself is there anyway of getting around it for example getting a parent to co sign my mortgage or?

Any help would be so much appreciated, I know I am doing this for the right reasons )

Sorry if the above seems like babbling lol !

Suarez

I would try and get your deposit up to around £15,000. I shouldn't take you long and for that amount of time it would make a huge difference to the mortgage options you will have and rates etc..

Suarez

Also, maybe you should apply for a Capital one card or a vanquis and spend a couple of pounds each month on it. Also, set up a direct debit to pay the full amount each month. This will help build a credit history which will further help you..

Fail to prepare, prepare to fail

robrymond

Sign up for a credit card or get a mobile contract in your name. Always helps. Makes sure you on the electoral roll too!

hillcats

Indeed, take a credit card out but make sure you pay in FULL every month as this shows you can manage your money.

Mandog

I wouldn't rush - the market is certainly not going up steeply and may go down. You've got time to double that deposit so you're more secure, as others suggested.

The cheapest properties on the market aren't always a good investment. It could leave you in a declining area or with negative equity or something impossible to sell if the economy worsens. Why not hang on a bit and grow your ambitions about what you'll eventually buy?

Related to that, it might be good to have a rental strategy. You're young and sound like a bit of a go-getter, and your life and plans could change dramatically. I'd buy with one eye on whether the area and the kind of property is good for renting out, that way it wouldn't tie you down if you wanted to travel or move to another city.

thegirlintheattic

Two things I would consider.

Have you got savings/enough coming in each month to cover not only the fees associated with moving but repairs and maintenance on a house? Even if you are a DIYer you still need to have a bit of a rainy day fund to cover these costs.

How likely is it that you will stay living alone, stay in employment and stay in the same area? A lot can happen in a few years when your young (well at any age but more likely when you are young). In less than two years I went from being settled and single in the city to living with a partner in a tiny village at the other end of the country following a completely different career path.