Self Cert - what can we get?

Rick62

Jaype, nothing to do with the mortgage but it sounds like your OH could do with some advice on how to structure the sales of his software. Most software firms with specialist software don't sell it for one off prices, they either rent it (charging an annual/quarterly/monthly licence fee) or they sell annual support contracts etc, so that the income is both greater and more constant.

jaype

Rick - it's mostly a product aimed at private individuals (for creative writing), so it's sold on a copy basis. Otherwise it would be like asking families to purchase a year's worth of MS Word... However, today a university did ask about buying a few copies for their department so thanks for the suggestion!

jaype

MortgageMamma wrote: »

No not at all, there are companies who will look at it, probably 5 of them, and IMO the products of some are pretty competitive

Off the top of your head, do you have a rough estimate of the average rate? We'd like to see what our repayment will be. Thanks!

JoeK_3

jaype wrote: »

Off the top of your head, do you have a rough estimate of the average rate? We'd like to see what our repayment will be. Thanks!

What property value and loan amount are you looking for?

JoeK

jaype

We are looking at two possible scenarios, based on the two types of house that tend to be around where we want to live. One is a 275k property, with a 235k loan, and the other is a 300k property with a 260k loan. However I have just realised that based on tax year income my proveable income will only be 14k last year as I was on maternity leave for part of it.

JoeK_3

jaype wrote: »

We are looking at two possible scenarios, based on the two types of house that tend to be around where we want to live. One is a 275k property, with a 235k loan, and the other is a 300k property with a 260k loan. However I have just realised that based on tax year income my proveable income will only be 14k last year as I was on maternity leave for part of it.

You should consider a shared ownership property.

If you are unable to buy a property outright on the open market, then shared ownership is the ideal solution for you. Shared Ownership is a part buy, part rent scheme, which enables purchasers to buy a home in stages. Purchasers can buy an initial share between 25% and 75% of the value of the property and pay a subsidised rent on the remaining value of the property. Shared ownership properties can be provided by housing associations, housing trusts and local authorities. These organisations try be as flexible as possible with regards to the initial share purchased, but this may be as much as 50% of the market value at some of their developments.

A service charge will normally be payable to cover the cost of communal maintenance. The service charges payable can remain the same whatever percentage you own of your home and continues to be payable should you purchase your home outright where possible. You will need to have sufficient savings to cover the initial cost of home ownership: legal fees and stamp duty for example. You will need to be able to meet the costs of rent, mortgage, service charges and other associated outgoings.

As your income increases, you can buy further shares of your home until you could own 100% of the value and no longer share the ownership with the housing association or trust. The greater the percentage you own, the lower the percentage on which you pay rent. However, if you do not wish to buy more shares in the property, you do not have to. Obviously, the more you own, the less you pay in rent. And, if you can buy your home outright in the future, then no rent will be payable.

JoeK

jaype

Joe - sorry to sound ungrateful but we wouldn't / couldn't consider shared ownership (not that we could, anyway, as all they ever build near us are 1 and 2 bed properties that are too small for our needs or generally too far from my OH's work - as he is a teacher we get lots of info about properties in Gravesend through the post. Not so helpful if you work in SE London zone 2 as travel time would be around 1.5 hours each way!). Our problem is that while we can afford repayments on a full mortgage, finding a lender who will take our circumstances into account such as the new-ness of our business and my self-employment status would be problematic. Cheers

mystic_trev

MortgageMamma wrote: »

can you give more information about your business that will make 65k this year, 20k year after and 5k in year three?

An Estate Agents ?

jaype

mystic_trev wrote: »

An Estate Agents ?

Excellent! Reverse the trend and it could be a firm of baliffs....:)

JoeK_3

jaype wrote: »

Joe - sorry to sound ungrateful but we wouldn't / couldn't consider shared ownership (not that we could, anyway, as all they ever build near us are 1 and 2 bed properties that are too small for our needs or generally too far from my OH's work - as he is a teacher we get lots of info about properties in Gravesend through the post. Not so helpful if you work in SE London zone 2 as travel time would be around 1.5 hours each way!). Our problem is that while we can afford repayments on a full mortgage, finding a lender who will take our circumstances into account such as the new-ness of our business and my self-employment status would be problematic. Cheers

I have sent you a pm.

JoeK