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A question about Help to Buy and what me and my partner can borrow...
Heisenberg87_2
Posts: 85 Forumite
Me and my partner have a joint deposit of £10,000.
We went to Nationwide about 5 months ago and they said that with our joint income we can borrow up to £181,000. Does this means that if we went for a property that cost £200,000 the following calculations would happen with the Help to Buy scheme;
Property Value: £200,000
Deposit (5%): £10,000
Government: £40,000
Mortgage: £150,000
As Nationwide said that they could lend us £181,000 and we would only need £150,000 does it make us more likely to be accepted for this mortgage? We have both an excellent credit score and have finished off paying any debts. We also have 0 dependants.
We would love to save more but it is now a case of we MUST move out very soon. Are we setting our sights to high with a £200,000 property.
Thanks
We went to Nationwide about 5 months ago and they said that with our joint income we can borrow up to £181,000. Does this means that if we went for a property that cost £200,000 the following calculations would happen with the Help to Buy scheme;
Property Value: £200,000
Deposit (5%): £10,000
Government: £40,000
Mortgage: £150,000
As Nationwide said that they could lend us £181,000 and we would only need £150,000 does it make us more likely to be accepted for this mortgage? We have both an excellent credit score and have finished off paying any debts. We also have 0 dependants.
We would love to save more but it is now a case of we MUST move out very soon. Are we setting our sights to high with a £200,000 property.
Thanks
0
Comments
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Are you buying a newbuild?
If so, the equity loan is based on you borrowing no more than 4.5x income and that household debt to income is 45% or less.
The HCA has a calculator to establish affordability, as well as the lender.I am a mortgage broker. You 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. Please do not send PMs asking for one-to-one-advice, or representation.0 -
Ideally the second hand market. What would we have to do to improve our chances?0
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There is no equity loan on second hand property. You are mistaking the Help To Buy - Mortgage Guarantee scheme, with Help To Buy - Equity Loan.
I have covered this in your duplicate thread on HBR&S.I am a mortgage broker. You 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. Please do not send PMs asking for one-to-one-advice, or representation.0
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