Calculations for future house?

mhyde88

Hi all,

Thank you for reading my thread.

I'm currently putting figures together for when i buy my first house - hopefully sometime next year.

I'm looking at purchasing a house with my salary alone. I will be looking at houses in the region of £140,000. 2-3 bed semis in the west midlands, with 10% deposit.

I've already applied for a mortgage with Halifax and they accepted me first time. I did this just to test my credit rating, and to ensure they will offer me a mortgage for the amount i want.

I take home between £2060 - £2300 p.m. The approx monthly on the mortgage will be around £590-£620.

I have compiled a list of outgoings, however they are just rough estimates, if you have a better idea please let me know.

Council Tax - £100
Gas Elec - £105
Water - £30
Virgin TV/Internet - £40
Insurance - £11
Car = £290
Food = £200
Mortgage = £620
Total = £1396

This leaves me with around £664 disposable income. Would this be an acceptable amount left over? Have i missed anything on the cost of owning a house?

I appreciate any constructive feedback.

Thanks.

Loopy28

Mobile phone contract?

Insurance-is that buildings and contents for £11?

TV Licence approx £14 month

Depending on your own circumstances and needs, other considerations might be

Central heating/boiler cover- Mine is £11 and have needed to use it several times so worth it in my opinion but personal choice
Life insurance (optional) not necessarily needed if single/no kids..I don't have it personally

enthusiasticsaver

Yes, that should normally be ok. As a rough guide housing costs should be no more than 1/3 of your income so long as you have no other debts so you are well within that.

john_white

mhyde88 wrote: »

I've already applied for a mortgage with Halifax and they accepted me first time. I did this just to test my credit rating, and to ensure they will offer me a mortgage for the amount i want.



Thanks.

How? They would need to value the property.

mhyde88

Hi Loopy,

Thanks for the feedback.

I have a company phone which i don't have to pay for and can use for personal use.

My Calculations were based on averages, and i think it was just buildings. Contents insurance is a must. What would you say is a good estimate to put aside for this monthly?

Central heating/Boiler cover good shout, i will add this to my list!

I will consider life insurance.. but i can always add this at a later date

Would you say i'd be safe with £400-£600 disposable income a month?

Again, thanks for the feedback.

mhyde88

John-white,

Sorry i may have mislead with what i said. I have been offered a mortgage in principle. I know there are other hurdles, but this was just to test the water so to speak.

mhyde88

enthusiasticsaver,

Thanks for the feedback. I have a little credit card debt to clear before i get my house, but i should be debt free within 3-4 months. Except for the car loan of course!

kiddakidda

Ouch.... That car is a sizeable chunk!

You should be Ok though as long as nothing has been missed. don't forget stuff like gym memberships / socialising etc, they take it all into account under the new MMR rules

Good Luck

Loopy28

mhyde88 wrote: »

Hi Loopy,

Thanks for the feedback.

I have a company phone which i don't have to pay for and can use for personal use.

My Calculations were based on averages, and i think it was just buildings. Contents insurance is a must. What would you say is a good estimate to put aside for this monthly?

Central heating/Boiler cover good shout, i will add this to my list!

I will consider life insurance.. but i can always add this at a later date

Would you say i'd be safe with £400-£600 disposable income a month?

Again, thanks for the feedback.

My contents insurance is £6 month but I live in south east Cornwall so low risk, certainly wouldn't be any higher than about £20.

I live with my husband (no kids) and after everything comes out and our food/fuel is paid our disposable income is £1200 and that is is for two of us and we managed to put £500 month in to savings and use the other £700 between us for socialising, luxuries etc a month-surprising where it goes!. But your disposable income sounds like more than enough in my opinion and I would recommend having some savings built up to cover the fees and also to be able to furnish/decorate etc. when you move in.

mhyde88

kiddakidda, tell me about it! Only paying that for another 4 years.. quite depressing really! Thanks, i think once i own a house, my socialising expenditure will be put into perspective and I'll stop throwing it away

Loopy28, that's cheap! £20 doesn't seem too bad either. I'm so used to having a lot of disposable income, so it will be quite a shock when i get my first house. I will definitely try and put a couple of hundred away each month. There's also a chance my GF will move in and contribute which will help out.