First time buyer mortgage advice

Adammmmm

Howdy folks!

We are finally taking the plunge and looking to buy our first home, therefore I have been doing my best to look into all of the different information and find the best mortgage deal for us and our situation.
Problem is, I am starting to get that feeling like when you are cramming for an exam and you are reading information but it just isn't sinking in

We have a deposit of 50k saved and are looking at houses within the region of 150k, so we will have an LTV of around 66.7%.
Most of the information which I have read seems to point towards fixing for five years being a good option as we are looking to get married/have kids and all that nonsense hehe.

Are there any mortgages out there which may be specifically suitable to us in our current situation? I was hoping that having a slightly larger than average deposit than usual might help us to get a better rate.
We have a combined yearly income of around 44k in total.

If anyone has any advice/suggestions it really would be hugely appreciated as ever!

UsernameAlreadyExists

Fixed/Variable prediction = witchcraft. If you fix and it drops you'll kick yourself, and if you're variable and it rises you're out on the street (possibly). For security and you know you can afford it then fixed seems predictable especially if you're planning the family.

100K on 44K seems wholly affordable to me but it depends on the split between main and secondary.

I, personally, love the offsets ... as overpayments pay huge dividends in the long run ... but kids are FAR from cheap and overpayment may become a pipe dream.

So in conclusion? No idea.
Best of luck though

Adammmmm

Haha thanks very much!
I guess if we ever do have any cash left-over we could drop it into an ISA just incase anything ever goes wrong...
By the looks of it the First Direct fixed 5 year seems to be the best option if we can haggle the price down so we are within 65% LTV: http://www.money.co.uk/mortgages/5-year-fixed-rate-mortgages.htm

The offset option does sound good! I hadn't looked into that! Thanks.
My only worry is that with saving for a wedding and the crazy cost of kids we would never really build up enough savings to make the offset worthwhile

Dan-Dan

Adam

I havent really got any advice , other than we have a large deposit as well (or will have) and i have been reading up on mortgages , rates , fee`s etc etc like a mad thing , trying to get the process all set in my head... some people may not require it , and some people do , but we are considering the help of a broker to hand hold us through the proces when it happens.

Sometimes , when the biggest decision of your life comes around (after getting married and little ones) it might pay tob have that security of an expert to call on

Oh and personally , fixed is what we will go for , i am one of those types that likes to have exact figures to count on , and if rates fell , to be honest peace of mind is as important as cash really...imo

good luck !

nala1157

We bought our first house last year and have an offset mortgage. Personally I think it's really good for when you want to save money for something(wedding, kids, etc) and while its in the offset account it's having a positive impact on your mortgage, but also the money is all there for the taking when it is needed. So kinda the best of both worlds. We are with scottish widows so not totally sure if its the same for all offsets but that's how it works with them. I agree with the fixed option - prefer knowing exactly what I will be paying out for peace of mind. Good luck!!

Adammmmm

Thanks for the replies folks, i guess if nothing else it is always good to know that other people are in the same position, and there isnt necessarily a right or wrong answer.

I definately think it is one of those situations where once we have made a decision I will just avoid looking at the other rates until close to the end of our fixed term as you will only end-up kicking yourself as better deals become available.

In all honesty I dont think we will be able to save too much when paying the mortgage to make the offset worth while as once we have a decent amount we'll end up spending it on the wedding anyway I imagine... swings and roundabouts eh? hehe