Nightmare about buying

Dia8012

Hi guys,
I have to confess that I have no idea where to start and what to do regarding finding myself to step on property ladder, having said that I mean I have asked from few banks and people but at the end my brain fuse blown up as I didn't understand anything.
So if I have a salary under 27K and my partner salary is 20K with some deposit, do we have any chance to think about getting mortgage and buying anything in London?
I hope we could, really appreciate any help.

dawyldthing

Put the wages into one of the banks like Halifax as an example but when I got mine I could get 4 times my income so it would be around £180k ish but out that £30k you’ll have solicitors etc to come out. I think most of London places are more than £250k but I might be wrong.

https://www.halifax.co.uk/mortgages/mortgage-calculator/calculator/

It’s a bit more than I thought at £223k if no major outgoings, but you have to factor in solicitors, searches etc that needs to come out the £30k plus if you have any other loans, credit cards they will impact on affordability

jonnygee2

The first step would probably be to talk to a mortgage broker about how much you can borrow. You can even start with an online broker like https://trussle.com/ .

When you have an idea about the amount you can borrow you can start to look for a house in your budget. There are properties in 'London' that might suit you, but if you work centrally you might find it difficult to find somewhere on your salary, and also have enough money left to pay for the commute in.

Dia8012

I couldn't find 1bed flat less than 350K anywhere in London.

jonnygee2

I couldn't find 1bed flat less than 350K anywhere in London.

They exist. Areas such as Erith and Plumstead will have properties at that price and lower.

HampshireH

You will find more choice of better priced places on the outskirts but commutable

AdrianC

Dia8012 wrote: »

I couldn't find 1bed flat less than 350K anywhere in London.

You aren't looking very hard.

710 1-bed+ flats in London £150k-£250k, excluding shared ownership and retirement.

https://www.rightmove.co.uk/property-for-sale/find.html?locationIdentifier=REGION%5E87490&minBedrooms=1&maxPrice=250000&minPrice=150000&includeSSTC=false&dontShow=sharedOwnership%2Cretirement

OK, there might be a lot that can be filtered straight out because the EA's mis-categorised them, or because they're commercial/houseboats/parking. But they DO exist. You just need to think about which part of London you're looking at...


£30k deposit means £300k would be 90% LtV, if we ignore fees etc temporarily. That's not going to be your cap.

£47k joint income means £188k mortgage at 4x, £235k at 5x, plus deposit.



So - realistically - if you start looking around £200-225k, you should be good.


£20k income is not very much more than national minimum wage, and is a chunk below national average - yet you're looking in London - does your OH have any scope to improve that?

agrinnall

While you might find something in London in your price range it won't be at all desireable. Why not either look outside London where your money will go a lot further and travel in, or probably even better move to an area where property is cheaper and get jobs there?

Dia8012

AdrianC

Not really, I do have a hope bcus of brexit house prices will fallen so I might get a chance to buy anything. I have seen some old properties around 250K but almost all of them needed to be refurbished before move in.

Dia8012

agrinnall
Easy to say my friend we are both working and u know finding the job for both in new area is not that easy. In London at least with 1h commute u can reach to work but from outside is really risky specially with this train situations recently thinking to live outside the zone is scary.

jonnygee2

I have seen some old properties around 250K but almost all of them needed to be refurbished before move in.

AdrianC has already posted the links to lots of properties though.

Look at this place. https://www.rightmove.co.uk/property-for-sale/property-64395196.html . It has two bedrooms and does not need refurbishing before moving in. And it's in Walthamstow - that's zone 3 / 4 so easily commutable. It's possibly just outside your budget, but you could make an offer.

If you don't like it AdrianC linked to a search with 700 other results to look through.