How much we can borrow?

saving123

How can we get a good indication of how much we would be able to borrow on a mortgage? Thanks

ChopperST

http://www.nationwide.co.uk/products/mortgages/first-time-buyers/tools-and-calculators/how-much-could-you-borrow

kingstreet

Lender online affordability calculators, as long as you feel confident in putting the right expenditure items in the right boxes and if not, an independent broker, hopefully recommended by a friend or relative.

saving123

Thanks I tried the nationwide one but wasn't sure what to include in the "Lastly, what about other regular monthly costs that you think we need to know about? " ? thanks

kingstreet

Put in there only items with a regular cost, such as hobbies and things like gym membership. Don't enter normal living expenses.

saving123

Great so I don't need to include things like gas/electric etc? What about things like car bills e.g. insurance/mot etc? I have included petrol costs in the previous question. Also what about things like mobile phone bills?
thanks

kingstreet

Add up all your annual car costs, divide by twelve and add to them any public transport costs and put them in travel.

Leave out your phone costs, unless spending more than normal.

Nationwide isn't the most generous of lenders, so repeat this with other lenders to get a broader idea.

dimbo61

You can get an Idea what you might be able to borrow but now more than ever you should speak to a broker!
HSBC offer some of the best rates but like YBS can pick and choose only the best customers ( high income, excellent credit history, big deposit)

Other smaller lenders may suit your needs and if you use a broker they can hold your hand and cover all the points you have already come across.
I am not a broker and do not work in the finance industry but with MMR you need to get things right.
Good Luck

wrkactjob

Remember the more expenditure you add the less they will lend.

dimbo61

If under MMR they are asking do you plan on kids( child care) how many times you eat out each week and how much your Haircut costs!!!
I think they know lots about you !

saving123

My partner is self employed - is this likely to have a big bearing on how much we can borrow? He has profit figures for the last 3 years. We should have a deposit of around 17-20%. We have also been overpaying on our current mortgage by about 50% more.