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First time buyer

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Hello

I'm just looking for advice/ people's opinion as to if i could get a mortgage

I'm 21 and i am a first time buyer

Ive seen a house i really like priced at offers around £65,000 (what would be a reasonable price to offer first)

I have a £21,000 deposit which i've worked and saved very hard for, i could maybe stretch to £21,500

I earn £854 a month, this may soon be increasing by £100 if i can get more hours at work but could be nearer to the end of the year

I have no debt/ loans/ store cards etc...

Thanks for any help :)
«13

Comments

  • ACG
    ACG Posts: 24,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Is the £854 before or after tax?

    Go in with an offer of whatever you want, they will only accept or decline and then you can go in with something a bit higher.
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • joe_purdy
    joe_purdy Posts: 302 Forumite
    £854 is after tax. does £55,000 sound really cheeky and too low ;)
  • Annisele
    Annisele Posts: 4,835 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    It really depends.

    If similar properties are selling at £50k, then the asking price of £65k implies a deluded seller who might not accept £55k even though you'd be seriously overpaying.

    If similar properties are selling at £70k and the vendors have put it up at £65k hoping for a quick sale, they're very unlikely to accept £55k.

    Pretend there wasn't an asking price, work out what it's worth to you, then offer that (unless you think it's worth more than £65k, in which case offer around £65k to start with).
  • bluesnake
    bluesnake Posts: 1,460 Forumite
    look online to see how much similar houses have sold in that area, rather than the asking price.
  • joe_purdy
    joe_purdy Posts: 302 Forumite
    do you know any sites i can check or do that on please bluesnake?
  • highguyuk
    highguyuk Posts: 2,763 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    I just offered 22% lower on a property. It was rejected, but no harm done...
  • ACG
    ACG Posts: 24,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Ive calculated your wage to be about £12-12.5k?

    You could probably borrow around £50k, meaning you shouldnt have a problem buying the property even for the asking price. Just ensure you keep money aside for solicitors, valuation costs etc. (Shouldnt be anymore than £1000-1500).
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • bluesnake
    bluesnake Posts: 1,460 Forumite
    edited 1 April 2013 at 12:59AM
    joe_purdy wrote: »
    do you know any sites i can check or do that on please bluesnake?

    There are quite a few, but Scotland has a different system, so not sure about them.

    Here are some sites that offer this, and you may even recognise the first one :)
  • bluesnake
    bluesnake Posts: 1,460 Forumite
    If you really want to be smart, buy it but live at home, but rent the house for a few years. Get a mortgage on which you can overpay (with your share extra) and this could take a good chunk off the mortgage and put you years ahead.

    Also in a few years prices will have crept up, and when you do move in, costs will not hurt as much.

    However you have to be able to save, and deal with money, rather than having constant lads nights out.
  • kingstreet
    kingstreet Posts: 39,256 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    bluesnake wrote: »
    If you really want to be smart, buy it but live at home, but rent the house for a few years. Get a mortgage on which you can overpay (with your share extra) and this could take a good chunk off the mortgage and put you years ahead.

    Also in a few years prices will have crept up, and when you do move in, costs will not hurt as much.

    However you have to be able to save, and deal with money, rather than having constant lads nights out.
    Buy a property on a residential mortgage with the intention of letting it from day one?
    I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.
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