Help to buy - Now or never! How much can I borrow?

Firestarters

Hi guys young lad here, was planning on enjoying another a year or two in some cars I had my eyes on, however I just checked and HTB funding is being cut in April 2021 to max value of 180k house price outside of London.. I happen to live in Birmingham unless there's a massive house pricing crash there's no way I will be able to find a new build in a decent area in the West Midlands for that price range to take advantage of the 20% government lending so the time is to forget cars now and sort myself out. ASAP.

I Just have some questions, I have 60k in the bank for deposit, however job wise I'm currently unemployed, I don't have any skills to get a decent salaried job, at best, I'd be lucky to find a job, that pays me 20k a year like a call center worker of some sort..

- If I got a 20k a year job and another job either full time or part time which would be another £10k on top of the 20k a year job would I be able to use both jobs to count towards my mortgage lending sum of £30k a year?

Worse case scenario I only have one job with a 20k salary, with my £60k house deposit on top of the 20% HTB loan with NO debts, ( I have 3 credit cards, one with 10k one, one with 1.5k on) what would the max a specialist mortgage broker be able to get me?

Would it be best to apply for a mortgage on my own name too, my mother works part term and earns 12k a year according to her P60, HOWEVER, she has one or two ccj's and a few credit accounts that either have late payments, defaults.

It must be a new build house simply as I would not be happy buying a house that's not new build I would need to rip everything out to be comfortable living there.

Is shared ownership a bad idea, I've noticed majority of new builds under shared ownership do not have a garage and are detached and only being able to own up to 75% of the house seems off putting.

Location I'd be looking at moving too would be Solihull/Hall Green/Kings Heath but would have to meet criteria above.

I'm hoping with the above information I could get a new build house with a budget of £350k lol?

Sorry for long winded post but I hope for those in the know, that is enough information to give me an accurate idea on where I stand.

Thanks

Retired_Mortgage_Adviser

Budget of 350k
Deposit of 60k
H2B 20% equity loan 70k

Leaves you 220k to borrow (at least, ignoring other purchasing costs).

Unfortunately, there is no chance of getting anywhere even remotely close to that figure with a 20-30k salary.

csgohan4

generally you can only borrow x4.5 of your gross income not including debts.


You need to lower your budget to what you the lenders will lend you.




But well done in saving up a large deposit.

haras_nosirrah

350 - no chance I am afraid
245k if you have a 30k income is more realsitic

[Deleted User]

I think you've read your data wrong. Max prices will be roughly £260k in Midlands


https://www.google.com/amp/s/www.thisismoney.co.uk/money/mortgageshome/article-6330133/amp/Help-Buy-extended-two-years-time-buyers.html

enthusiasticsaver

I think on that sort of salary you need to set your sights lower. Is that a starter home? 2 bed flat or house. You will only get around 4 or maximum 5 times your income as a mortgage.

MovingForwards

https://forums.moneysavingexpert.com/discussion/6042947

Same advice as in your other thread.