What is the best course of action?

DiiFMaritime

I am currently renting with the tenancy coming to an end on 25th August. I have a viewing for a potential property that I would be interested buying tomorrow. The owner seems to be keen to sell immediately

My question is therefore what should I do - if I don't extend my tenancy and the purchase falls through then I will be homeless. Equally, if I extend for a minimum of 6 months and gets the property with in a few months, then I will have to pay a mortgage plus rent.

With the help of my family, I can get a 15% deposit on a £175k property and I have a decent salary (£35k per year) - so hopefully getting a mortgage shouldn't be too bad.

What sort of timeframe should I be looking at to have everything in place and sign the contract so I will be the proud owner of my first home? (some say at least 8 weeks - some say less)

My provisional plan is to see whether I can negotiate with my landlord to reduce the fixed elemenet of the tenancy extension to 3 months as well as to see whether if I could get the property off the market if I decide I want to go for it whilst I apply for a mortgage. (I think the latter is very unlikely)

Any advice or experience much appreciated:beer:

Mr_Moo_2

What''s the score with the vendors of the property you like? If it chain free then that is a plus. Plus go and see a mortgage broker to check you can get the mortgage you need.

With you in rental, you could complete easily in the time frame if you get yourself sorted, have a decent conveyancer, and a motivated seller who's not in chain. But there's plenty there that needs checking further...... good luck.

R_P_W

How about viewing the property first before deciding how you are going to buy it?! You might not like it! It could have problems on survey etc.

DRP

DiiFMaritime wrote: »

I am currently renting with the tenancy coming to an end on 25th August. I have a viewing for a potential property that I would be interested buying tomorrow. The owner seems to be keen to sell immediately

My question is therefore what should I do - if I don't extend my tenancy and the purchase falls through then I will be homeless. Equally, if I extend for a minimum of 6 months and gets the property with in a few months, then I will have to pay a mortgage plus rent.

:

Don't renew the tenancy. Automatically it converts to a rolling monthly tenancy (SPT). Even if your LL serves you notice on the 26th August to leave you will have at least 2 months - more like 4 months if you wait until it goes to court. ie. it'll be xmas by then

DiiFMaritime

Thanks all - will definitely make at least 2 viewings before making my decision. With regards to the mortgage broker, is this someone from a bank or are they independent? Will also ask about chain tomorrow.

buzzyzoe

Also keep in mind that you'd need a lender who will lend you 4.5x your salary given the figures quoted above. There are lenders who will lend this, but not all will, so the companies you will be able to borrow from, and therefore the rates you will get, may be somewhat limited.

Have you budgeted for fees/other expenses as well? I'd say it's best to budget several grand for these (£1750 in stamp duty, plus legal fees, surveys, mortgage fees etc)