Advise on getting a mortgage!

goody23

Hey guys i need your advice i currently live in a 2 bed council flat with my family of 4 that i bought about 7 years ago, I am now considering moving because i need a house with a garden for the kids....i was considering selling the council flat but dont think it will be easy to sell, but if i renting its got a huge potential very close to a tube station ..I have about £95,000 left on the mortgage ( don't ask london prices!! )
I am looking to get a mortgage for about £200,000 ..and i have about £15,000 in savings .Could you advise me about getting another mortgage i dont really want to sell the council flat i would like to rent it out to be honest...Thanks

ILW

What do you earn?

goody23

ILW wrote: »

What do you earn?

I earn about £45,000 and my wife earns £18,000

The_J

You need a bigger deposit.

jbm1967

What is the value of the flat? Realisitic value.

goody23

jbm1967 wrote: »

What is the value of the flat? Realisitic value.

I would say £145,000 thinking of remortgaging and using the money as a deposit...

goody23

The_J wrote: »

You need a bigger deposit.

Like how much do you think

harvey115

goody23 wrote: »

Like how much do you think

Minimum would be 10%

but if you can get somewhere in the region of 20% or above, you can get far better deals and much easily.

goody23

OK guys so what do you suggest i do remortgage my flat and get a bigger deposit so i can get a better deal i have £15,000 saved already ..shall i go through a whole market mortgage broker to get a good deal ...suggestion pls Thanks

The_J

Speak to a broker. I think you'll be looking at a Let To Buy situation which only certain lenders (both on your future let property and your future main residential) will consider.

You should be able to release about 10k from your current property and this should be just about enough to purchase at the level you want. Bear in mind you will lose your potentially decent rate on your current property and have to take a higher rate, higher fee BTL product.

goody23

The_J wrote: »

Speak to a broker. I think you'll be looking at a Let To Buy situation which only certain lenders (both on your future let property and your future main residential) will consider.

You should be able to release about 10k from your current property and this should be just about enough to purchase at the level you want. Bear in mind you will lose your potentially decent rate on your current property and have to take a higher rate, higher fee BTL product.

Thanks for your reply..i was thinking of going to a broker as well...A question i want to ask J would it be better if i just take a loan? or should i remortgage where i am living right now turn it into a buy to let mortgage pay the higher rate ..and then get a residential mortgage with a 10% deposit for £200,000.
I am thinking of moving out of London house prices are crazy here :eek: