Any chance of use getting a mortgage?

eekster

This sort of question probably comes up twelve times a day so I apologise in advance!

I've spent a good couple of weeks scouring the net for info and quotes and wondered what the chances of us realistically being able to secure a mortgage on a property worth around 250k.

My income is about 27k at the moment but my promotions are pretty rapid and salary is roughly doubled every 3-4 years.

My partner is on 23k and although it will go up, it won’t be by much.

We have 15k of savings and both graduated last year.

Do lenders take into account such things as promotion prospects? Are graduate mortgages worthwhile or would we be ripped off?

Thanks in adavance!

JoeK_3

Try Standard Life and Scottish Widows banks.

JoeK

herbiesjp

So you are on £50k

What property prices are you looking at? Do you have any other debts?

Do you have good credit records?

Plenty of lenders that are flexible, just needs a bit more information

toonfish

there are plenty of lenders that may consider this - it depends on your credit score and what you are looking for in terms of fixed/variable rates etc which would be most suitable for you

Feanor

Hi,

I just thought i would give you my experience as me and my other half earn about the same as you guys (49k) combined.

We were able to borrow a maximum amount of £228,000 with the Abbey, but that was with a 5% (12k) deposit, so we could look at property up to £240k. This works out at 4.5 times joint income.We also have hardly any debt, about £800 on a credit card and student loans. We also both have very good credit When we started seeing some figures, we realised fairly quickly that we wouldn't have much of a life if we borrowed the maximum amount. The repayments worked out roughly at £1450 a month, i think that was about a 5.7% interest rate fixed for 2 years.

I just wanted to give you this illustration so that you can see how affordable it is. If you have no other debts or monthly out-goings then its probably fine. But we live in London and cobined with council tax, travel costs to and from work etc and the kind of social life we wanted we realised it would be too much, even though..like you we are both grads with very good prospects.

We have now settled on a 2 bed maisonette, it has own garden, two double bedrooms, a huge living room etc..and its in a lovely area, very leafy and relaxing. It was £207,500.

Whereabouts in the country are you?

Back to your original question however, im sure there are lenders who will let you borrow 5 times your salary, but i would think things like debt and credit score would be taken into account alot.

Good Luck!

eekster

We're living in West London.

Credit rating-wise, we both have credit cards, have never missed a payment (and 99% of time pay off full amount each month) so I don't see any reason for us having a bad rating. Loan wise we both have our student loads (mines 12k, the gf has 16k) but nothing else.

I've been trying to look at Scottish Widows for a while but I find the page keeps timing out. Thanks for the suggestion of Standard Life, I'll give them a go now.

I arranged for a couple of brokers to call me back around this time tonight, so fingers crossed the ball will soon start rolling!

If anyone has any tips/tricks for FTB then I'm all ears!!

Feanor

Hey,

We live in Kingston Upon Thames and have just used a broker in Surbiton which isn;t too far from you? he has been really excellent. He searches the whole of market, gets his comission from the lender and is all round very good.

If you would like his details let me know and i'll pm you.

Whereabouts is your search area just out of interest? :

x

eekster

That would be v helpful, cheers.

We're currently renting in Chiswick, but giving the cost of property around us it's doubtful we'll be able to find much to fit our budget here, thus we're mainly focusing our search in Sheperd's Bush (but still keeping an eye on Chiswick/Notting Hill on the off chance something comes up!).

Standard Life looks hopeful - with both our jobs being on the 'freestyle professional' list we should hopefully get a good offer!!

Feanor

Hi,

I have pm'd you.

Standard life may well turn out to be the best one for you, but by seeing a broker who can search the whole of the market they will be able to show you what best suits your needs without having to apply directly to any particular lender and leaving traces on your credit score.

x

Dave117

Watch out for the Abbey if you do only 5% deposit. We did this but found out later that we have to pay for an insurance policy on their behalf at a cost of about £1,900 as you are paying under 10%, just incase you default on the loan. Was too late to switch and rates had gone up so we stuck with it. They do build it into the value of the mortgage though, so you are not stuck with a large bill on completion.

Just a word of warning to make sure you ask about this with any lower deposit mortgage.