FTB but in an awkward position

ClareyWary

Hi everyone. Please be gentle...

I've fallen for a house that I hope (and think) will accept 77k. I have a 40 - 50k deposit. The house needs 10 - 15k spending on it. I have that money too. My problem is that I'm on a 9k salary. I'm also self employed an earn an average 1.5 - 2k a year.

Is there any hope at all of getting a 27 - 37k mortgage (to run on 30 years term) on my low salary?

Also, I'm going to assume my credit rating is pretty neutral as I've never really borrowed before. I've had one small loan in the past which I took out as I knew I could repay it and did so just to improve my future credit rating. I have a credit card which I rarely use and pay off in full every month.

Many thanks in advance!

KRB2725

Could you not go for option b and take out a personal loan for the £7k?

ACG

I would like to think with that sort of deposit there would be options.

But you need to think of your £9k a large proportion of that will be taken up with essentials:
Council tax - £70/ £840 a year.
Water - £30/ £360 a year
Gas/Electric - £40/ £480 a year
Food - £100/£1200

Thats nearly a third of your income with me being fairly conservative.

Im sure there will be options, but I think you need to get playing around on affordability calculators and also check whether lenders have a minimum income (not all of their calculators will pick up on this).

ClareyWary

Thanks!

I have played around on some calculators and I was wondering that about them pointing out minimum income criteria as there's quite a few that don't! I do live very frugally but I understand they'll use averages when taking my situation into consideration. I don't watch tv, I don't need broadband, I don't holiday abroad (if I holiday at all), I do like cider though

I'm seeing a broker next week (who is attached to an estate agency). If it's not doable then I'll just have to wait another 6 months and lose out on this house.

I heard Halifax are quite generous with FTB's?

ACG

Estate agent based brokers are not really known for being good - although I suspect this will be within their capabilities...just :P

I think its worth seeing a broker as their could be options. If I thought you had no chance I would say so.

jaynebrat

I got my first mortgage three years ago with Halifax. I was earning £13k at the time, and the mortgage was for £25k.