How much will the bank lend me?

babylon83

I am looking at moving house, I currently have a mortgage of £75,000 and have about £90,000 to put down on a new property. I want to port my current mortgage on to my next property, however my question is how much more will a bank lend me based on an income last year of £49,000?

ACG

Is that self employed or wages and commission or just wages?

I tend to work to the tune of 4x income. It may be more or less depending on your circumstances. There isnt enough info.

kingstreet

babylon83 wrote: »

I am looking at moving house, I currently have a mortgage of £75,000 and have about £90,000 to put down on a new property. I want to port my current mortgage on to my next property, however my question is how much more will a bank lend me based on an income last year of £49,000?

Just to clarify, you don't transfer a mortgage from one property to another.

When you sell, your current mortgage ends. You are applying for a new mortgage on your new property, for the full amount you need to borrow.

If you qualify and if the rate is particularly good, or you want to avoid the payment of early repayment penalties, your lender may allow you to transfer, or to "port" the rate from the old mortgage to the new one. If you are borrowing more than you currently owe, any extra money is given on one of the lender's current new products, of your choice.

As ACG said, typically, you can borrow 4x your gross annual income, after credit costs and the cost of dependents, maintenance etc. There are one or two lenders who will exceed this, but without more information, it's difficult to give a meaningful example.