a few mortgage queries

JamesN

Hi all,

Looking at getting a house next year. Jan Feb time. I've got about 30k saved for a deposit. Based on income of 40k per annum what would be the most I could borrow? I'd prefer to have some largish mortgage payments to get a bigger house versus having to pay fees all over again when we need a bigger house (if we had to settle for a smaller house in the first instance)

We are expecting our first child I'm October. Is this likely to have an impact on how much we can borrow? I appreciate they aren't cheap but I have a fair bit stashed away for the main costs. As my wife won't be working (on mat leave) is it best to do an application in my name or jointly?

Would a separate guarantor make much of a difference?

Thanks all

ACG

4-5x income + your deposit.
Difficult to answer on sole/joint application. If she has a letter confirming a start date some lenders will include her income. Will she/you be in receipt of tax credits etc?

Difficult to answer at this stage, it will come down to lender choice. But £160-200k would be a ballpark figure with your £30k on top.

JamesN

Thanks. That's about what I thought. Would having a guarantor enable me to borrow more or would it just lower the rate?

ACG

It definitely wouldnt lower the rate. There are so few guarantor mortgages available it would limit your options massively.

It may enable you to borrow more, but again there are so few options it may not.