Mortgage Application

AnotherJoe

Kirsty_A wrote: »

My gym is the cheapest gym in the area at £15 a month and I have spent weeks shopping around for a car deal as I need something with good MPG and something reliable as I do a 52 mile round trip to work and I've had cars go bang on me on the M42 in rush hour - NOT fun. :-(

Looks like I need to cut out as much as possible in the run up.

You can get a new car for under £100 a month on PCP, and 26 miles each way is hardly taxing for a modern car. £15 a month is cheap for a gym, but is it necessary? (no)

So you are looking at spending too much. Around (including gym) £100 a month too much if you really want to get a mortgage. A phrase involving a cake comes to mind.

As said, really cut back, get a mortgage, see how you get on paying it then branch out to better car, gym, whatever.

Debtslayer

If getting a house is your priority then I wouldn't be getting a new car, I'd cut back on anything and everything to get a house.
Once you've got your house and as long as you can still afford it then you could get a nicer car if you still want to. In the meantime get yourself a cheap run around or how far does your boyfriend travel to work? Could you cope with one car for now?

LittleOne

Thank you, all.

Unfortunately my boyfriend and I work quite far apart and different hours so we can't share a car.
I know my credit rating is 999 on experian. I am so particular when it comes to managinget my finances. I've had credit cards and loans (all paid off, on time) and never missed a payment, ever.

We live in the West Midlands. We're thinking we'll have to buy a house that will possibly need a bit of work doing (thankfully we know people who can help us out with that)

Just to reiterate, I don't want a new car as a flashy new toy!! We are far from those types... I need something that'll keep my fuel costs down and be reliable and safe.

Appreciate the input. I think I'll hold off for now and try and get by. I don't want to be under any more stress worrying about getting a mortgage. I personally thought we were in a food position but it appears like it's more difficult than I had thought!

LittleOne

I can't seem to edit my post on my phone so apologies for the predictive text errors!

AnotherJoe

Contemptuous wrote: »

Wow, this thread is rather depressing reading!

No, you do not have to stop living your life in order to have the privilege of a mortgage. I certainly didn't cancel my cheap gym membership! We applied for our mortgage a year ago and had absolutely no issues. Our spending habits didn't change.

I agree that getting a car on finance in the run up to applying isn't the wisest move, though, especially if affordability is already tight.

Yes but how close to the limits of what you can borrow and what you can afford, were you borrowing ? The OP seems to be on the limits of both.

AnotherJoe

Just to reiterate, I don't want a new car as a flashy new toy!! We are far from those types... I need something that'll keep my fuel costs down and be reliable and safe.

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And that could be a £99 a month car instead of a £179 car. So, kid yourself or not, the car you fancy isn't essential or necessary. Now, if that didn't affect how much you could borrow I'd say so what, but in your case it would seem likely it will knock the equivalent of whatever you can borrow for £80 a month which might be ten difference between getting a mortgage or not. Thats my point.

Belloubec

From my very limited experience of mortgages getting any sort of credit in the months leading up to your mortgage application isn't a good idea. I would see how long you can stick out using your existing car until you have bought a house. Also get a really good mortgage broker / advisor - I can recommend an excellent one if you like just let me know (I am in West Midlands too)

amnblog

I really don't see what the fuss is all about.

£700 pm on a mortgage is fairly modest given the stated incomes.

Strangely enough mortgage lenders are not shocked when applicants have a car on finance, or are paying gym fees, or make charity contributions.

Have a broker run a eye over your budgets to ensure you fit where you need to on mortgage affordability.

AnotherJoe

amnblog wrote: »

I really don't see what the fuss is all about.

£700 pm on a mortgage is fairly modest given the stated incomes.

Strangely enough mortgage lenders are not shocked when applicants have a car on finance, or are paying gym fees, or make charity contributions.

Have a broker run a eye over your budgets to ensure you fit where you need to on mortgage affordability.

I was going by what the OP said, that they seemed to be at the limits of what they could borrow.