Fist Time Buyer Advice

AndsA

Hi,

I would like to buy a property.

It is on the market at £67,500.

I am on £17,000 P.A.

One problem is that I have only been in my new job for a week and another problem is that I have £2000 worth of credit card and overdraft debt.

What would people suggest that I do please? Who should I approach? I have read through the Mortgage advice on the site but am still not too sure if I would be eligible for a mortgage.

Cheers,

Andy

AndrewSmith

The main thing it will depend on is what the terms and conditions of your new employment are, especially with respect to a probationary period and how your income is made up. What I mean is whether it is basic salary or is it salary plus overtime to get to £17,000?

With respect to the credit card and the overdraft, it will depend on how these have been conducted and whether you are up to date with all the payments etc.

It will also depend on your credit history, employment history and deposit (if any).

herbiesjp

Do you have any deposit to put down?

You could well be ok, based on the figues.

Employment history may not be a problem with several lenders - are you still in the same line of work that you were in previously or is this a totally new career?

maninthestreet

£67,500 at 5.25% p.a interest gives a monthly payment of just over £400. On top of that will be council tax (at least £50/month), gas / electricity / telephone bills and buildings/contents insurance. What is your current monthly take-home pay, and what are you current monthly outgoings?

AndsA

Hi,

Thanks for your help.

I have been informed that if I were to want to buy a property that was at offers over £70,000 but it was only valued at £70,000 and I ended up paying £84,000 the mortgage lender would only give me the amount taht the property was valued at i.e. £70,000. I would therefore have to mak ethe further £14,000 up myself. Is this correct?

Thanks,

Andy

herbiesjp

HI Andy

That is correct

AndsA

herbiesjp wrote:

Do you have any deposit to put down?

Sadly no.

herbiesjp wrote:

Employment history may not be a problem with several lenders - are you still in the same line of work that you were in previously or is this a totally new career?

Same line of work and have been in this field since 1998 so should hopefully not be an issue.

Thanks,

Andy

AndsA

maninthestreet wrote:

What is your current monthly take-home pay, and what are you current monthly outgoings?

£17,000

My current monthly outgoings are very low as I am staying with my parents.

I would say about £300.

Cheers,

Andy