1st time buyers 20% mortgage?

Sammyantha

Forgot to add we'll also be overpaying every month by about 1,200

grey_gym_sock

planning to overpay won't affect what mortgage you can get.

a bigger (%) deposit will both make it easier to get a mortgage with an imperfect credit record, and help to get a lower mortgage rate.

Thrugelmir

Sammyantha wrote: »

and therefore possibly having a lower interest rate open to us?

Interest rates are at historic lows so don't base the next 25 years at current levels of available rates.

A .25% in rise in base rate is being suggested in some quarters.

maninthestreet

Sammyantha wrote: »

We plan to overpay every month and have a mortgage that just pays back what we've borrowed. Is this even possible?

Not unless you find a mortgage with a 0% interest rate fixed for the lifetime of the mortgage.

dimbo61

Why not buy a modern small house that is a couple of years old and live in the property for two/three years and overpay every month or save money into cash ISA,s
25% deposit and a 3/5 year fix and if you can overpay by £15,000 a year the LTV will increase quickly.

Bufger

Still some missing info there. The known items are that you want a £200k house, have a 20% deposit so you're looking to borrow 160k.

'good jobs' could be anything. My cousin considers 16k PA good, I consider 50k PA good. What is your joint income potential? If you're on a combined income of £60k+ you wouldnt have a problem with an OK credit score but if its £30k combined you might.

What area are you buying in? What are the local attractions to bring other buyers into the area? its ok doing a house up but if its all about where the house is as to whether it will achieve its potential. If you're looking to make money from house renovation you should really do alot of research on the areas you wish to buy in.