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First Time Buyer - Advice needed
maestro89
Posts: 2 Newbie
Hello, I'd like to explain my current situation and would then be grateful on any advise on how to proceed with what I would like to achieve.
I'm 24 and I'm currently living in a house which is owned by my Gran.(I've always lived here.)
The house is valued at around 260K. I've been in my current full-time job for nearly 3 years now where I'm earning approx 26.5K.
My gran has 8 children including my mum so if/when she passed away the house would be split between her children. (All my aunts and uncles do get along - they won't be screaming for their share straight away).
Ideally I'd like to purchase this house with the help of my mum who'll contribute to the deposit. The price would potentially be less then 260K as I'd be paying for 7/8ths of the house - wouldn't pay for my mum's share.
I think I can get a mortgage of up £120k. I can put down a deposit of about 40-50K. M
I'm aware of the help to buy mortgage scheme, can this be used somehow in this case??
I'm 24 and I'm currently living in a house which is owned by my Gran.(I've always lived here.)
The house is valued at around 260K. I've been in my current full-time job for nearly 3 years now where I'm earning approx 26.5K.
My gran has 8 children including my mum so if/when she passed away the house would be split between her children. (All my aunts and uncles do get along - they won't be screaming for their share straight away).
Ideally I'd like to purchase this house with the help of my mum who'll contribute to the deposit. The price would potentially be less then 260K as I'd be paying for 7/8ths of the house - wouldn't pay for my mum's share.
I think I can get a mortgage of up £120k. I can put down a deposit of about 40-50K. M
I'm aware of the help to buy mortgage scheme, can this be used somehow in this case??
0
Comments
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Help to buy is there to overcome a lack of deposit not affordability so that will not help.
£260k - 1/8th (£32.5k) = £227.5k
£227.5k - £50k (you have mentioned above) = £177.5k
You have a shortfall of £57k.
Sorry for putting what you probably already knew above, i just wanted to put the figures down so i had it to refer back to as would anyone else who needs it when replying.
Unless you can get someone else to go on the mortgage with you then i think you are going to struggle.I 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 -
No.
HTB - MG only helps people with low deposit to get a 95% mortgage. This will not help you.
If your mother is going to be part owner, she will need to be a party to the mortgage.
If she will gift you her equity and you have £50k on top, it appears you will need a £177,500 mortgage and you will not get more than £132,500 over 40 years on your income, assuming no credit, dependents or other deductible costs.
I suggest you discuss your options with a whole market broker. You may not be able to do this now, but you will be able to work out how much you will need to earn, or how much you can afford to pay.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 -
How feasible would it be for the house to be "gifted" to me and my mum and then remortgaged.0
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