Mortgage options

Thrugelmir

Autumnrust wrote: »

Hi Guys,

This is the 100% Mortgage I was talking about - 100mortgagesonline.co.uk
I spoke to Connells and they are currently offering this.

Through Aldermore bank. Fees of £1,250 and an interest rate of 6.48%.

kingstreet

Autumnrust wrote: »

Hi Guys,

This is the 100% Mortgage I was talking about - 100mortgagesonline.co.uk
I spoke to Connells and they are currently offering this.

Is this the Aldermore deal? Most brokers have access to it.

3yr fixed at 6.48% with nearly £1,700 in fees (plus broker costs, if any) for a £160k mortgage is £1,078 over 25 years. It almost makes the loan option better. At least that would be paid off after seven years and you don't have to put a relative's property at risk.

Guarantee
A guarantee will be required from a parent, step parent or grandparent for the amount of mortgage above 75% LTV.

Last but not least, it's not portable, so needing to move house in the three year fixed period means a penalty of 5%/4%/3% in the three years.

Busy typing while Thrug was posting.

kingstreet

The 6.48% rate is being pulled tomorrow according to an email I've just received. No note of replacement rate yet. I'll confirm when I hear.

originalmiscellany

Wow - I think if you're on 70k, you should get a target of saving a decent amount (say 10k) by June 2012, and then 20k by Dec 2012. being so young, you have loads of time on your hands to pay it off, so I'd wait for a year for house prices to inevitably slow down/ drop.

You also say you've saved 2.2k in 6 months - under £400 a month. Post an SOA and see where you can save.

It will be worth it in the long term.

getmore4less

Thrugelmir wrote: »

You haven't even saved the purchase fees yet.

Suggest you look at where you are spending your money. As your first objective should be to save hard for a minimum of 6 months and at least.

Not even saved the £500pm the OH was getting that will be stopping soon.

Needs a serious look at a SOA.

Need to explain(to yourselves) where over £100k has been spent in 2 years,

Can't all be rent.

Debt free wanabee is the ideal place to get a proper look from people that can cut it tothe bone

Then you can prioritise where the surplus goes.

How much do you want that house.


Anything you could sell cars?

Autumnrust

Thanks all, I am really taken back on your time and advice, its really appreciated. I think we are just going to have to get very serious about saving, and now that I have found this site it seems that there is a wealth of support and advice to help the cause. Please can someone explain what an SOA is?

Thanks

P.S in the process of putting all of my old DVDs on ebay, this site has spurred me on, we have to start somewhere!

Thrugelmir

Autumnrust wrote: »

Please can someone explain what an SOA is?

Statement of Affairs.

Here's a link to one. http://www.makesenseofcards.com/soacalc.html

Often very eye opening!

getmore4less

If you want to start with a light touch perhaps post it here first before DFW(debt board- extreem saving needs similar approach to reducing debt)

One thing to do if you can is look back say 2 years and try to account for the money that has come in and where it has gone(rough annual totals will do for the picture you need to create for yourself).

For the current picture I would use the last year as an example and make any adjustmentsts for this year(you need to include at least 12 months) no £500pm, and baby side of things for a full year.

Apart from the house any other things coming up in the next 5 years these also need saving for so might be worth sticking them in.

If you have catagories that use a lot of cash you can break them down, a common one is groceries and booze/fags.

Don't worry about getting it right first time, these things take ages to get right and then fine tune, people often have £100's left over they can't account for.

One final point,

What you spend YOUR money on is your choice the purpose of the SOA is to help you get to YOUR goal, so don't be too alarmed by responses that might at first seem a bit extreme.

kingstreet

kingstreet wrote: »

The 6.48% rate is being pulled tomorrow according to an email I've just received. No note of replacement rate yet. I'll confirm when I hear.

New Aldermore Family Guarantee Mortgage rate is 5.98% available fixed for two or three years.