Wishful Thinking or A Slim Chance?

jellie

Don't forget that you'll need extra money put aside for legal fees, cost of survey, any furnishings you need for your new home, or moving expenses if you already have furniture etc.

TMC35

Jana83 wrote: »

Many thanks for your kind words TMC35 - it makes a nice change!

As previously mentioned, my BF DID have missed / late payments on his loans and c/cards but they are ALL paid off now & the accounts are now closed. The new c/card he has is just for rebuilding his credit score - as recommended by MSE - and is paid off in FULL every month. The loan (my suggestion I admit) was a) very small, b) totally necessary and c) it gave us an idea of how he's regarded financially - or so we thought!. Believe me however, we won't make the same mistake again!

Like the title of my post suggests, we just wanted to know if we are heading in the right direction or are we just wishing for the impossible? As a wannabe FTB, it's very difficult knowing that you're throwing money at someone else's mortgage, and not getting anything to show for it at the end!

You're welcome

Going back to your original post, you mention you will have been renting two years in Sept, I don't know if it's an option for you to move back in with either parents temporarily when your lease ends to get a larger chunk of money behind you more quickly.... this may also make it easier when you are coming to buy as you won't need to tie in the date you are moving out of your rental into your new home (i.e you could end up paying rental and mortgage for the first month or so)

I know you probably don't want to do this..... but if it's an option then I would look at it. I was living in rented with my husband last year, then 2 months before our wedding our landlord said they were selling we could have rented another house but I convinced my husband to move in with my parents to enable us to save the £2k+ a month we were spending out each month... so we literally arrived home from our honeymoon packed up our entire house (which luckily with the great friends and family we have stored all our stuff for free) and moved back home... I won't lie it's been tough, it's not the way I envisaged starting my married life, we have had to put family plans on hold etc... but we have been there 7 months already and in a couple of months will be able to start looking for a home, so it has been well worth the sacrifices we've made.

It's hard for FTB's now as you need so much money behind you, but once you've done this and got your home you have something to show for all your hard work and determination :j

If you are interested in 95% mortgages, check out Nationwide 'save to buy' account, you need to hold the account for at least 6 months to qualify and have a clean credit history from what I have read, but if you act quickly and open the account it might give you an option before the end of the year if you are worried about prices rising sharply after the mortgage guarantee scheme kicks in next year.

ValHaller

Jana83 wrote: »

Wow! Wasn't expecting such negativity about such a small comment.......
Obviously we are very naive when it comes to mortgages & credit scores & whatnot!
I was just trying to say that despite his poor credit history, my BF is taking steps to better his finances - no harm in that surely?

As for "ValHaller", we are NOT playing games - I NEVER joke about money

The message is blunt. Clearing debt improves your mortgage prospects. Getting a small loan from somewhere improves so-called 'credit score'. I am very negative about improving so-called 'credit score' as a method of improving mortgage prospects. particularly with a loan which only shows that his consumer credit score has improved, when it is his mortgage profile you wish to improve.

Please do not be naive about this.