Could a m'gage advisor help please? Rough idea needed!

Timmne

Hi all, wonder if you could help pls?

We have a S/O flat at the moment, valued at at least £150k and we bought a 40% share in July 05 when it cost £127k, meaning we've "made" £9,200 on it (hope to use this as deposit for next place).

We're looking to move to a new house, for example one that's on the market at £164,950. If we're on £20k (me) and 22k (girlfriend), what are the chances of finding a lender to give us that enough to buy? Also, we were considering going interest free and investing money elsewhere to pay off the mortgage early (as we both have bonuses every now and then) - will we be able to borrow more on that basis?....

Thanks in advance :beer:

herbiesjp

You will be borrowing 95% so be careful of lenders with Higher Lending Charges

You would be looking at borroiwng 3.7 times your joint income - so you will find plenty of lender to agree that for you assuming you have a good credit history and no otehr debts in the background.

You would be going interest only - I wish they were interest free! I'd have ten if they were!

Not a problem - some lenders will want to see proof of a repayment policy in place and others will not.

HTH

Timmne

Thanks very much!!

Oops re the interest free - it's a phrase that's drilled into me thanks to this site!

Is 3.7x joint income possible then? I thought we were pushing it tbh... great to know it could happen!

herbiesjp

As long as the final figures are affordable to you both, you will find lenders happy to agree that for you.

Make sure you have money set aside for selling fees, stamp duty legal fees etc.

HTH

Timmne

Much appreciated - Cheers!!

herbiesjp

No worries at all - glad to help