Living with a student

Trunk_z

Hi all,

There is a long story in our first house purchase, and it was started long in advance, I will update with the story (it's not that interesting) if people want.

The short version is this:
My partner and myself are both employed. As of September, my partner is becoming a student (again).

Currently, we are living in a caravan (for nearly a year!) to help get our deposit together and be ready to move as soon as we can and avoid any chains.

We had an offer accepted over Easter, and it looks like it is now going to fall through... the most frustrating thing is that we are powerless to do anything (the vendor has a useless solicitor).

As a student, my partner will actually be taking home more than they did whilst employed, so paying off the mortgage is not financially an issue, providing that we are in the house by the September 1st.
We are worrying that if we are not in a house by the time my partner is a student, then we will be unable to use the mortgage to buy a house.

Is this correct?

If so, does that mean that we can only take my salary into account? If so, we will be unable to move. We worked so hard to get out of rented accommodation, I'd hate for it to all be for nothing!

Any help would be most welcome!
Chris

amnblog

What exactly is it that your partner will be 'taking home'?

Trunk_z

amnblog wrote: »

What exactly is it that your partner will be 'taking home'?

Grants and bursaries.

They will never see the loan, as it goes straight to the training provider.

We added up the total of the grants and bursaries and divided it by the duration of the course to arrive at the equivalent 'salary'.

Without giving too much detail, it is one of the post graduate courses to become a teacher.

amnblog

Has your broker provided you with any other options?

Trunk_z

We are hopefully going to speak to our broker tomorrow.

I wanted to gain as much insight as I could before speaking to them so that I don't look (quite so) silly!

We are... just at a bit of a loss now.

amnblog

No-one is going to look silly.

Why would you be expected to know the ins and outs of the situation?

and do they say 'a little knowledge is a dangerous thing'

dimbo61

Your partner will be a post grad student for only 12 months and if they then get a teaching job all the better.
Student loans and grants are not normally taken into account when getting a mortgage over 25/30/35 years !!!!!
Could you rent a small cheap flat or house for 12 months and maybe rent out the spare room to another post grad to help with the bills.

Trunk_z

dimbo61 wrote: »

Your partner will be a post grad student for only 12 months and if they then get a teaching job all the better.
Student loans and grants are not normally taken into account when getting a mortgage over 25/30/35 years !!!!!
Could you rent a small cheap flat or house for 12 months and maybe rent out the spare room to another post grad to help with the bills.

I was worried that might be the case.

We worked really hard to pull ourselves out of renting, so are obviously really reluctant to go back in! We figure why pay that much in rent, when you could pay the same (or in many cases much less) and own the property? We decided that it was a poor choice, and that we needed to get onto the ladder. So, we upped and bought a caravan to live in in order to save up a deposit.

It's upsetting that other people have ruined our plan and there is nothing we can do about it! I think that is one of the main reasons. That, and our home rocks when it's windy.

dimbo61

Why other people ! Your partner is doing a PHD and will be a teacher in 12 months with I hope a good well paid job and job security for the next 25/30 years.