Secured Loan, How likely to be accepted?

cynicalgit_2

Remember living in a building site is better than living on the street.

tinkerbell28

cynicalgit wrote: »

Remember living in a building site is better than living on the street.

Well yes and one has also got to ask the question.....

Someone just commits to a new house purchase of which 1k a month will be going out on a mortgage.

House needs renovations and work. Why on earth would people go into that situation with 850pcm in car hp? Or take it soon after. For someone who can save 43k in two years, that's nuts. Pay off the debt before getting a mortgage. Or don't take it out after if it will leave you struggling.

All that money could be going into renovations, or paying the credit card debt down. Without needing to get another 60k plus attached to the house.

Got to say op, it doesn't bode well for the future if you go the secured route.

cynicalgit_2

tinkerbell28 wrote: »

Well yes and one has also got to ask the question.....

Someone just commits to a new house purchase of which 1k a month will be going out on a mortgage.

House needs renovations and work. Why on earth would people go into that situation with 850pcm in car hp? Or take it soon after. For someone who can save 43k in two years, that's nuts. Pay off the debt before getting a mortgage. Or don't take it out after if it will leave you struggling.

All that money could be going into renovations, or paying the credit card debt down. Without needing to get another 60k plus attached to the house.

Got to say op, it doesn't bode well for the future if you go the secured route.

Quite so.The money spent on cars is bonkers. Get rid and spend the money on reducing credit exposure and house renovations.
Cars are a depreciating asset and have no place in your budgeting.
They'll look nice on the drive when they take your house away.
Rethink your strategy it's extremely risky.I wish I'd followed the advice given here.

rolls99

Have to say, I would agree with others, DON'T go down the road of securing this on your house.

You mention you were able to save £43K in 24 months, but now you're 'struggling' to manage £850 in HP per month - and from what it appears here, your goal is to reduce your monthly outgoings not really taking the long term view of what you will be paying back..

If your Credit Cards are 'minimal' can you not bring those down and save money on those monthly payments to begin with?

As it stands, your 'other debt' is one thing, the house is another: by all means, for major work on the house look into adding something to the mortgage, as it's going into the house, but, putting it bluntly, even if it's £1 a month, adding cars and other credit into the house means you'll still be paying for them long after you've had the benefits