1st time buyer, can't borrow enough money

Bonniepurple

theartfullodger wrote: »

Strangely enough, amazing really, when I 1st bought in mid 1970s I was unable to buy what I wanted. Some 20+ purchases later I still don't have the swimming pool and helicopter pad.

But I survived: Just.

How do you survive without a space to land the helicopter?! Joking aside, OP, buying a house is all about compromise. You’re single, so you are not chasing school places. Don’t write anything off because of what you think an area’s like. Go and see it.

fidgetgreen

I'm 32, have just bought a do-er upper 2 bed flat in Hertfordshire for £275k. I had a 10% deposit and got a £245,000 mortgage on a £54k salary. It's a huge mortgage but I have a stable job and its time for me to leave home. I didn't think I'd be able to buy last year but I used an online mortgage broker and found i could get enough to buy. You've got a really good size deposit so you can put more down and reduce the size of the mortgage needed. Also, I know you want a house but most people don't go straight into their ideal home, i know i don't want to live in a flat the rest of my life but its a good place to start.

MissMollyJ

I moved out of Hertfordshire and 100 miles north to buy a house 20 years ago. I would like to have a bigger house with some land so may indeed move another 100 miles in some direction or other to get it.
C’est la vie.

MissMollyJ

Also if my house was big enough for my kids to stay and live for as long as they wanted I’d be very happy. My kids are fab! Would love to have a huge house I could convert into flats for them or something.

DCFC79

Apologies if been asked but how far would you be willing to travel ?


You have to decide whats important to you, being close to work but compromise on what you buy or move further out and buy a house.

oli356

artyclarty wrote: »

My sister works just outside Reading. She has gone from lodging with our grandfather in Fleet, to lodging in Calcot but finally ended up in Basingstoke.

I should look at Basingstoke, I hear it is a bit cheaper than Reading...

Deleted_User wrote: »

You need to be a bit more compromising on your location.

within 3 miles of your parents house is too limiting. Why not within 10 or 15 miles?

DCFC79 wrote: »

Apologies if been asked but how far would you be willing to travel ?

You have to decide whats important to you, being close to work but compromise on what you buy or move further out and buy a house.

I am, 3 is very limiting when you have a car.. I suppose I never figured that going out 10 miles etc would make too much difference and hence never looked.
I was looking out 20/30 miles earlier out earlier, more towards Oxfordshire, houses there seemed cheaper. Even if it was an hour commute each way, it took me 20 minutes this morning to do 1.5 miles on my 7 mile commute, I was thinking that an hour commute wouldn't be so bad if I was at least moving. Would need a different (more fuel friendly / not so fast car, but thats no big deal).

gary83 wrote: »

At £300 a month for board, bearing in mind he’s not paying council tax, gas, electricity, water, insurance there doesn’t seem like much profit there, add in occasional groceries and I’d suggest it’s below market rent for a lodger in the Reading area, I think that’d class as subsidising or supporting him.

Well yeah, you can pay several hundred a month just for a room in a house easily.. I think my mum quite enjoys me being home, gives her someone to talk to as she is now retired (looks after sisters dog all day!) and my dad is more miserable in his 'old age' now

[Deleted User]

HSBC lent me 4.7 x my salary last year.
Not sure if that's worth looking at?
It would have been nicer if I could have afforded a house, but most people start off with a flat and move their way up slowly if they're buying alone. There was no way I could have afforded a house but I'm in a flat overpaying my mortgage with the view that hopefully in about 5 years I'll be able to move up the ladder.
I'm your age, I was feeling a little trapped living at home and my parents were super laidback, so I understand that point!
Maybe write a pro & con list? That's how I ended up moving rather than staying put and saving more of a deposit.

getmore4less

I think you are underestimating how much you can afford.
at 25 you have 40y till 65.

£50k income net £3k+ if you get more pay rises you will be better putting in pension once 40% kicks in.

£250k mortgage £62.5k deposit aim for 80% LTV get a rate of around 2%

40y £760pm
35y £830pm
30y £925pm
25y £1060pm

With £3kpm , £1k mortgage, £1k living, £1k for discretionary spending/overpay mortgage free before 50.

HTB probably won't help you as much as the no deposit brigade as you can go to 80% and get decent rates anyway.

H2B help you stretch to 65% LTV on a £380k place
£247k Mortgage, £76k HTB, £57k deposit


no idea on location but spacious house was on a £325k not clear who owns the garage.
https://www.rightmove.co.uk/property-for-sale/property-65815584.html

oli356

Deleted_User wrote: »

HSBC lent me 4.7 x my salary last year.
Not sure if that's worth looking at?
It would have been nicer if I could have afforded a house, but most people start off with a flat and move their way up slowly if they're buying alone. There was no way I could have afforded a house but I'm in a flat overpaying my mortgage with the view that hopefully in about 5 years I'll be able to move up the ladder.
I'm your age, I was feeling a little trapped living at home and my parents were super laidback, so I understand that point!
Maybe write a pro & con list? That's how I ended up moving rather than staying put and saving more of a deposit.

Yeah, I think I probably need to speak to someone and try identify how much I could borrow, seems like the estimators on line can't be trusted and there's too many variables at play. At least then I will know where I stand.

If I was able to afford a flat but was like 2 years away from buying a house , then I think I would stay put really and save up the rest, it just makes more sense in my opinion; might write a pro/con list though. We are getting a nice new shiny kitchen at home next month and as someone who spends alot of time in there .... I'm looking forward to that :rotfl:

oli356

getmore4less wrote: »

I think you are underestimating how much you can afford.
at 25 you have 40y till 65.

Thanks for the info, and yeah I think what has become apparent is that I'm underestimating how much I could afford, especially based on the mortgage 'how much can i borrow' calculators etc.