First time buyer mortgage - How can I improve my chances?

samanthjh

Hoping anyone who's been in a similar situation can help. I'm finding it difficult to find many lenders that will lend me the amount I need.

The facts
- 27k basic salary
- single application
- offer accepted of property of £173500
- LTV of 75%
- AIP from HSBC for a max loan amount of £135000 (I will need to borrow £131000)

I've spoken to a couple of brokers but it's hard to tell where their interests lie and how much they have access to compared to others.

Any tips much appreciated.

Sammi

Thrugelmir

Would you be comfortable if interest rates were to rise significantly. Borrowing at around 5 times earnings in your own case. Would have serious implications on your budget. The more you can save and put down as a deposit the better.

muhandis

While at 4.85 times income your borrowing needs are on the edges of maximum LTI for a lot of lenders, with a sizeable deposit, 75% LTV and (assuming) a clean credit history and no/low debt, it should not be too difficult for an (independent whole of market) broker to place you with an appropriate lender.

The advice provided by mortgage brokers is regulated and while that does not guarantee good advice, my experience is that there are plenty of decent brokers around. Plus, given that they get paid by the lender only upon completion, it is in their best interests to get your mortgage past the finish line.

samanthjh wrote: »

Hoping anyone who's been in a similar situation can help. I'm finding it difficult to find many lenders that will lend me the amount I need.

The facts
- 27k basic salary
- single application
- offer accepted of property of £173500
- LTV of 75%
- AIP from HSBC for a max loan amount of £135000 (I will need to borrow £131000)

I've spoken to a couple of brokers but it's hard to tell where their interests lie and how much they have access to compared to others.

Any tips much appreciated.

Sammi