First time buyer questions - Pls help

kaaip75

Hi All,

Situation has now been changed.

I have managed to secure £16k as a deposit.

But I have a loan repayment £208.00 per month, Argos card £1500.00 &Credit card £1500.00

My income is £37k + Wife £16k. Still live in Watford, Hertfordshire. Lookingto buy around Watford.

Leeds calculator says I could borrow between £188.7 - £200.4 if £100.00 personal monthlycommitments/out goings (without utility bills, food, fuel etc)

What are the best options I have in the market?

Many thanks.

kaaip75

sorry, Leeds calculator says I could borrow between £188.7K - £200.4K

Thanks.

honey_badger_3

My partner and I have a combined income of £41k and outrageously the bank offered us £185k with a 10% deposit (4.95% interest) - we don't have any children or debts. We would not have been able to afford this as well as running the house and car and we would have been in serious trouble if rates went up.

Luckily we identified this and worked out what we could actually afford now and in future (we didnt need a prompt by the new bank rules to do this, we just thought it was the sensible thing to do).

If I were you I'd save up a deposit and sit tight a while before jumping and buying. And work out a prospective budget now (to the worst case scenario) so that you know whether you can afford other costs as well as the mortgage - but I guess if you don't the new bank rules will ensure you do.

Sandstone

Your best option is to just pay off those credit debts first. They are costing you money and the earlier you get rid of them, the faster you can save for a deposit.
Some other options to consider are: (1) find a cheaper property, and (2) increase your income somehow.

TCB1

I live in Watford and I think you are going to struggle to get a house anywhere near £200k.

We are in a not particularly desirable area of Watford and our 3 bed 1930's semi is now worth at least £350k probably nearer £400k. Prices are going up at a ridiculous rate!

Every time you post you seem to have different types of debt. You need to clear the debt and build up a substantial deposit to get a house.

kaaip75

I have noticed that Luton area properties are cheeper than most of other surrounding areas. You can go for a semi less than 200k. Is there any reason ??