First time buyer questions - Pls help

kaaip75

kingstreet wrote: »

You can't use Help To Buy on shared ownership.

Use this to calculate what you can, or can't borrow. Make sure you enter the shared ownership rent in the personal outgoings box;-

https://online.leedsbuildingsociety.co.uk/public/mortgages/quick_enquiry.do

I've given you the Leeds calculator because it's a lender which will offer 95% on shared ownership.

You also need to pass the HCA HomeBuy Agent's affordability calculator as well. Find out who it is for your area, Moat, Catalyst, Orbit etc.

See back of this guide for list;-

http://www.homesandcommunities.co.uk/sites/default/files/our-work/help_to_buy_buyers_guide_sept_2013.pdf

Thanks for your info... very usefull.
Bit confused now.... is it the same with government newly introduced 5% + 15 (government) deposit gurentee program? Can I use this program to go for shared ownership?

My trouble is we live in Watford (Herts) so peoperties are expensive also I cant move into outside as my daughter in grammar school. So I am trying to start with my capacity atleast from shared ownership.

thanks

kingstreet

No. Shared ownership is a Government scheme in its own right and you can't combine it with one of the others.

You can have a 95% mortgage on shared ownership, so you don't need HTB for it anyway.

You can either afford it, or you can't based on the HCA Affordability Calculator and the lender's affordability model. You need to take into account your credit commitments, childcare costs, shared ownership rent and hope your income is sufficient.

If you have not already done so, ask your HCA HomeBuy Agent to run your details through the SO affordability calculator and see what you get. If you want a copy (Excel file) PM me your email address and I'll send you one.

kaaip75

kingstreet wrote: »

No. Shared ownership is a Government scheme in its own right and you can't combine it with one of the others.

You can have a 95% mortgage on shared ownership, so you don't need HTB for it anyway.

You can either afford it, or you can't based on the HCA Affordability Calculator and the lender's affordability model. You need to take into account your credit commitments, childcare costs, shared ownership rent and hope your income is sufficient.

If you have not already done so, ask your HCA HomeBuy Agent to run your details through the SO affordability calculator and see what you get. If you want a copy (Excel file) PM me your email address and I'll send you one.

Thanks for reply...

Affordability cal is very useful. Is it the similar way all the lenders(like Natwest, Halifax etc..) assess the affordability (if I talk to them)?

It seems that dependent children factor makes big difference. Do people alwaysdeclare those details like children details?

Do you mean that new HTB scheme (5% deposit) doesn’t support to buy oldshared ownership properties if I want to buy existing share from current sharedowner?

Actually based on my situation it want be able to afford brand new propertiesin my area as they are very expensive and also over valued compared to old properties.

Thanks again..

kingstreet

I'm not going to discuss you committing mortgage fraud by failing to disclose relevant information. Your bank statements will probably show child benefit, childcare and other similar costs, so you will not get away with such an omission.

If you buy a shared ownership property you cannot combine it with Help To Buy. As I have already said, there are lenders offering 95% mortgages on shared ownership as it is a Government scheme in its own right.

I gave you the Leeds calculator because it lends 95% on shared ownership. Many lenders don't, as you will discover if you call NatWest, for example.

kaaip75

Thanks kingstreet...

I am not going to commit any illegal things here but wondering why does itmake a big impact to the end figure.

Ok, If I go for the figure that Leeds Calculator says then do you think thatstill my credit score make a different (as it is 758 as at today) to chnage the final figure?

Many thanks again..

Dan-Dan

I know watford well , there is much more affordable housing stock there than you seem to be targeting

kaaip75

Dan-Dan wrote: »

I know watford well , there is much more affordable housing stock there than you seem to be targeting

Hi Dan - Dan,

Would you mind giving some idea the housing stock that you are talkingabout? Most of the properties are very expensive & over valued according tomy estimate.

thanks

kingstreet

kaaip75 wrote: »

why does itmake a big impact to the end figure

Ok, If I go for the figure that Leeds Calculator says then do you think thatstill my credit score make a different (as it is 758 as at today) to chnage the final figure?

It makes a difference to what is considered affordable because it is an inescapable additional expense.

The amount is determined by the overall quality of the case and the dreamed-up CRA "score" is no part of that.

Go to Leeds BS and get a decision in principle, if you want the amount confirmed.

A broker would be your best port of call, TBH.

kaaip75

Thanks Kingstreet...very valuable points.
I will talk to Leeds BS branch at watford...

kaaip75

Made an appointment with Leeds BS - Watford to discuiss the matter with one of Mortgage advisor.