How much will we be able to borrow?

xmillyx

Hi,

Were just looking for a ball park figure on how much myself and my boyfriend may be able to borrow when we start looking for a house in a couple of months time... I have tried using the online calculators but they've come up with such varied results!

Here's our essential info:

We have a deposit of £30k we are both FTBs (plus mortgage expenses etc)

My income: £19k from main job gross and £2k from 2nd job

I have a student loan which I am not yet paying off, PCP car contract of £126 a month, a credit card which is paid off in full every month which is around £200 but has a limit of £1,200. I also have a interest free graduate overdraft of £750 which is rarely touched.

I have fixed expenditure of £200 for my horse and £25 phone contract. Petrol costs me around £120 a month.

Boyfriend income: £21k rising to £23k after 6 months plus £2k guaranteed bonus.

He has a student loan and £750 interest free overdraft which he uses occasionally.

His fixed expenses are £25 gym membership and £120 petrol.

I just want to know really what price houses we should be looking at, my initial thoughts were up to £210k (we live in the expensive south east!) is this realistic?

Thanks in advance

Beckyy

According to the MSE mortgage calculator: http://www.moneysavingexpert.com/mortgages/how-much-mortgage-borrowing#result you can borrow between £108-151K. Assuming you 2nd income and OH's bonus is guaranteed. Future payrises mean nothing to them, it's only current income.


They're all going to vary wildly though. I don't know what they will take into account for affordability now as I haven't taken out a mortgage recently, not sure if horses etc. would count but I'd be pleasantly surprised if you could borrow enough to look at houses around the £200K+ price.

amnblog

Very ambitious at 210K.

That figure suggests you have a property in mind.

You might do well to look at affordable housing options such as shared ownership.

xmillyx

amnblog wrote: »

Very ambitious at 210K.

That figure suggests you have a property in mind.

You might do well to look at affordable housing options such as shared ownership.

Hi nope no property in mind haven't started looking really and won't until October time.

The 210k came from having the view to negotiate down to 200k or less.

We've considered shared ownership in the past but not really interested anymore

dranzer01

30k deposit i would say you would need to be looking at houses of max £150,000.

amnblog

For once you will be carrying Mr Horse on your back rather than vice versa.

westv

Beckyy wrote: »

According to the MSE mortgage calculator: http://www.moneysavingexpert.com/mortgages/how-much-mortgage-borrowing#result

That calculator doesn't seem to take account of any expenses. Is it still valid now?

amnblog

westv wrote: »

That calculator doesn't seem to take account of any expenses. Is it still valid now?

This calculator a waste of time.

As is any affordability calculation unless you know what you are doing.

westv

amnblog wrote: »

This calculator a waste of time.

As is any affordability calculation unless you know what you are doing.

You would have thought that an affordability calculator would just need input of all expenses but I suppose it's not as simple as that.

amnblog

What goes in what box Westv?

How do you tweak affordability up?

Is bonus the same as overtime, and shift allowance, and car allowance?

Where do I put tax credits?

What is my self employed income?

Where do I input my pension contributions?

What if I am paying off some debt?

What is the maximum term I can use?

Is my husband a dependent?

Shall I input my maintenance?

Shall I input my rental income?

...shall I go on?