First time buyer

terrybha

Sorry people usual questions here.

We are first time buyers (My mother and myself) and we are looking into getting a mortgage and before I contact advisors I was wondering if I could get some advice on here?

We have applied to buy our house off the council (Right to buy scheme) and they have said they will give us the maximum £38,000 of the house price of £178,000.

We will need to borrow £140,000 for the house and we have other debts that total £20,000 (from when our husband/father passed away)

In total we would like to borrow £160,000.

I earn £26,000 and my mother earns £13,000.

We don't have any deposit. I have a credit score of 820 with experian and I'm unsure of my mothers score. We have no CCJ's.

Would we be able to get that sort of money or not?

Thank you in advance.

Shambler

I just did a quick search on moneysupermarket.com

You would be looking at payments or around £1000-£1200 a month for a 25 year mortgage, can you afford this?

Plus if/when interest rates rise...

Feanor

Hi Shambler,

Just wondered where that figure came from because we just got a mortgage of £196,500 and the payments are £1160.00 a month??

terrybha

We can budget between £950-£1050 per month.

What interest rate was that with shambler?

Shambler

Ok, quotes are for a right to buy mortgage, joint application.

Value of property 178K, mortgage required 160K since you want to add 20K of debt onto the mortgage.

Money supermarket comes up with these top 2 best offers for a 25 year fixed...

from 5.39% at £1093 a month fixed for 1 year?..sounds weird?
to 6.59% at £1225 a month fixed for 5 years

I just did a similar quote for myself but as a ftb not a right to buy and it looks like right to buy mortgages cost more than ftb, this is for a 100% 160K fixed mortgage...

5.49% at £984 a month
5.99% at £1032 month

terrybha

Thanks for these figures Shambler.