30K shortfall on Borrowing at First Search?

kilby_007

You seriously need to reassess. Reality check required.

With a 42K joint income and 30K deposit I'd be looking at something in the range of £150-£180K. The low end of that budget will mean you've got a 20% deposit, and you could get a long fixed deal at a lower rate. Reduce your mortgage term, ultimately you'll pay much less interest, pay more capital off quicker, and in a few years time you'd then have a good chunk of equity to look at something bigger once your salary has increased.

260K is a crazy target IMO for a couple on 21K salaries.

Jon_B_2

Seems like a massively unrealistic ambition.

We've a joint income of £65k and bought a house for £275k with a mortgage of £206k and whilst it is more than manageable, I can't imagine having a £230k mortgage without it being fairly tight on our incomes.

Also, what if interest rates rise?

konark

.. and don;t forget stamp duty (£3,000), solicitor's fees and removal expenses and all the stuff you'll need to furnish the home.

I'm afraid you're batting way above your average.

marksoton

Read in conjunction with....

https://forums.moneysavingexpert.com/discussion/5528115

kilby_007

Moving parents in won't improve the mortgage situation, unless you plan on a joint mortgage with your parents, in which case they'll then own 50% of your house. I don't see the point in rushing this through and ending up with an undesirable scenario where you're stuck with your parents because neither of you can afford to buy the other out. The housing market isn't about to boom, the likelihood is a correction in prices so just chill, wait it out and buy when your wages increase OR buy a cheaper house in the interim but keep in mind the costs of moving & purchasing (stamp duty, solicitors fees, removals, estate agents' fees when you come to sell).