First Time Buyer, buying alone with debt

churchek

Hi, this topic may have been covered before but am really hoping for some advice. I am aiming to purchase a house on a shared ownership scheme and will be doing this alone, hence the shared ownership option. I currently have 15k of credit card debt and a car on HP which costs £250 per month. I am working hard on clearing the debt as much as possible and hope to be at less than 10k by the end of the year, am also living with family again to help with my situation. I earn over £35K per annum and am hoping that someone can help point me in the direction of where I need to get to in order to purchase a home. I should have assistance with a deposit and this will not be an issue. Have spoken to mortgage brokers but they don't seem to be a massive help to me at the moment and could really do with some advice...please :-)

ACG

On £35k, you could probably get a mortgage of around £155,000.
However, with £250 a month plus £10k in debt in addition to the rent on the part of the property you will not own, that will likely come down, maybe £125-140k as a ball park as it is based on limited information.

We do not really do many shared ownership properties so probably not the best person to answer this question. It is probably worthwhile finding a broker experienced in shared ownership as not all brokers will do them.

Caz3121

churchek wrote: »

I should have assistance with a deposit and this will not be an issue.

are you being gifted or loaned a deposit?

churchek

Hi. thank you for the response, I am being gifted the deposit :-)

asm89

I'd DM haras_nosirrah on here. She's an SO mortgage broker...been really helpful to me! She can advice on your options.

Have a look at what SO are also available where you'd like to buy as well, so you are working with real numbers.

You can also play around with the SO calculator, which tells you what is deemed affordable

https://assets.publishing.service.gov.uk/media/58d55b72e5274a06b300000e/Shared_Ownership_Sustainability_Calculator_-_June_2017__FINAL_.xls

spokenivandrago

You should not be buying a house with that level of debt. It would be a big mistake. Get rid of all debt and then look to purchase. You would be mad to buy a house while in debt.

gaz_moose

id recommend waiting a year, hammering down your debts and not buying a shared ownership.

sammyjammy

If you are earning £35k, living at home and have a gifted deposit you should be able to clear that 15k credit card debt in 12 months if not earlier. You'd be mad to buy before you've repaid it. When does the HP finish for the car?