am i a first time buyer?

danlightbulb

Hi all,

I had a joint mortgage with my ex-wife from 2004 till about 2012 when we divorced. I didn't get anything out of the divorce in terms of equity, and my ex-wife took on the house and re-mortgaged on her own.

I've been renting since 2010 when we split up. I'm currently saving for a deposit to get back on the ladder, having had to start over again basically. It will be another 3 to 5 years before I can save a sufficient deposit (of around £15k), aiming to get a 90% LTV mortgage.

Will I be a first time buyer or not?

ACG

It varies from lender to lender. You need to check what the stance of the lender you apply to is at the time.

danlightbulb

What about the help to buy ISA? It says that people who have previously owned a property are not eligible, but by the time I'm ready to claim the payment it will be 7 or 8 years and presumably will have gone from my credit history by then?

ACG

It will have gone from your credit report but you will not be eligible for HTB ISA as far as im aware as it says If you have ever owned....

amnblog

The H2B ISA is not compulsory to purchase a property.

Potential buyers are getting fixated on it because of the bonus which does sound good but against that, the Government control the terms and what you need to do to get the benefits.

danlightbulb

I may have owned previously, but my situation is exactly the same as any first time buyer saving a deposit. Seems unfair not to allow me the ISA on that basis.

Can I still open a HTB ISA, to get the good rates of interest, even though I won't be eligible for the government bonus?

Rich2808

danlightbulb wrote: »

I may have owned previously, but my situation is exactly the same as any first time buyer saving a deposit. Seems unfair not to allow me the ISA on that basis.

Can I still open a HTB ISA, to get the good rates of interest, even though I won't be eligible for the government bonus?

The rules are clear - you have owned or part owned a property in the past so aren't eligible for the help to buy isa. Sorry those are the rules.

You will of course be eligible for other help to buy initiatives and shared ownership.

Rich2808

danlightbulb wrote: »

I may have owned previously, but my situation is exactly the same as any first time buyer saving a deposit. Seems unfair not to allow me the ISA on that basis.

Can I still open a HTB ISA, to get the good rates of interest, even though I won't be eligible for the government bonus?

The rules are clear - you have owned or part owned a property in the past so aren't eligible for the help to buy isa. Sorry those are the rules.

You will of course be eligible for other help to buy initiatives and shared ownership.

danlightbulb

Ok thanks. Conventional savings for me then.

Can I tag on one further question please save starting a new thread.

My plan is to have saved my deposit in around 4 years time (approx £15k). I'll be 40 then. Will I still be able to get a 30 year mortgage at that age? I might be able to go 25 depending on payments, but it will be nice to have options.

I know alot can change in 4 years, and I can't save any faster anyway, so I'll just have to wait and see really, but in theory is this a reasonable expectation?

betmunch

Depends on the lender and what your retirement plans are.
It can be done now subject to the above so should be OK in a few years time, but you never know

danlightbulb

Work till i drop lol. State pension probably be 90 by the time i get there.

Will a mortgage provider take into account that id get a lump sum off my private pension?