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What's the chance of getting another mortgage now!!!
spurs501_2
Posts: 133 Forumite
High Everyone.
I'll outline my situation THEN ask my question if thats ok?
I'm a house owner with a property worth approx £170,000
My mortgage is £90,000
So equity in property is approx £80,000
BUT!!!
Unsecured Loan with £40,000 Outstanding
Various Credit Cards totalling £30,000!!
AND!!!
In the last year or so I've had to make payment plans with a couple of my Credit Card companies, due to me being unable to meet the minimum payments at the moment. I have NO CCJ's etc though
MY QUESTION!!!
If I wanted to increase my mortgage (in 2 or 3 years time maybe) to move property, would anyone be interested in giving me a mortgage do you think?
I'll outline my situation THEN ask my question if thats ok?
I'm a house owner with a property worth approx £170,000
My mortgage is £90,000
So equity in property is approx £80,000
BUT!!!
Unsecured Loan with £40,000 Outstanding
Various Credit Cards totalling £30,000!!
AND!!!
In the last year or so I've had to make payment plans with a couple of my Credit Card companies, due to me being unable to meet the minimum payments at the moment. I have NO CCJ's etc though
MY QUESTION!!!
If I wanted to increase my mortgage (in 2 or 3 years time maybe) to move property, would anyone be interested in giving me a mortgage do you think?
0
Comments
-
Could you afford to increase your mortgage and pay your loans and credit cards?
If you want a broker to say whether they think you could get a mortgage you'll need to give an idea of your income.I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.0 -
Could you afford to increase your mortgage and pay your loans and credit cards?
If you want a broker to say whether they think you could get a mortgage you'll need to give an idea of your income.
Thanks for your reply!
In the short term I would rather "battle on" and try to pay off my credit card debt "a bit at a time" rather than increase my secured debt. Dont know if this is sensible or not?
I guess I am asking if a broker would give me a mortgage in the future (given my recent payment plans with credit cards) My salary is approx 28K.0 -
You need to attack the debts before considering another mortgage. You are outside of the maximum at the moment but time is on your side.
Go for it
LipstickI am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
You need to attack the debts before considering another mortgage. You are outside of the maximum at the moment but time is on your side.
Go for it
Lipstick
thanks for the advice! I am working at clearing my credit cards ASAP.
One further question if I may? ~ How many times my salary will I be able to borrow? Am I a better prospect because I have a lot of equity in my property?
Many Thanks!0 -
5.5 x is around the maximum.
Your existing loans and credit cards would affect the maximum that you could borrow on affordability.
LipstickI am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
5.5 x is around the maximum.
Your existing loans and credit cards would affect the maximum that you could borrow on affordability.
Lipstick
Thanks!!
Just so I understand it fully:
I would start a new mortgage (say 5 x my salary) ?
The equity in the property would be added to the new mortgage to give me the amount I could buy a property for?
This is all assuming I had no other debts?
Thanks again Lipstick!0 -
Your existing mortgage is paid off.
Assuming a maximum of 5 x £28,000 = £140,000 maximum loan subject to your credit history and the loan to value ratio, i.e 90% loan to value.
Hope this makes sense.
LipstickI am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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