FTB Mortage amount?

Arthurdent_2

Hi There, We are looking to buy our first home and was looking for a bit of early advice, only just started looking at what is on the market and was wondering what we could possibly get as a mortgage, details are:

Joint income of £47k (£6k is overtime)
Deposit of around £25k
Saving of £3k for fees etc.

however I do have £7.8k on Credit cards (fixed at 5.9% for life) and a monthly loan of £400. I should use some of our deposit to pay off the CC but wondered what we could get leaving them like that as the interest rate is good and could potentially get a better LTV? Never missed a payment on anything ever and have about another £15k of available credit on my two CCs (should I reduce this or is that a good thing to have?)

Looking around the £140k property value (£115k loan) mark, had a quick 2 minute chat in my local bank and he didn't think it would be possible with the outstanding credit but nearly all the online affordability calculators I have used say it would be fine, some say well over £150k loan possible?

Any experts here give me an opinion on what loan might be possible?

Thanks, Arthur

kingstreet

Play with a few lenders' affordability calculators. That's exactly how I would answer your questions and there's no substitute for getting a feel for it yourself.

Add, then remove, the credit card balances and see how that affects your borrowing power.

Asking one person in one institution isn't getting you a balanced view.

Arthurdent_2

OK, Great, I have done about 8 I could find with various lenders online and all but one came back with an estimate above what we are looking for.

kingstreet

They are usually pretty accurate.

To be certain, get an agreement in principle at the time you're starting to look seriously for a property.