Really confused about what I want :(

danlightbulb

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

NinjaTune

danlightbulb said:

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

Not sure if you'll see this OP as I get the feeling I might be on ignore, but here goes anyway.  What about adding the 5k you have stashed away for a new piano to your deposit.  How much could you borrow then?

MFWannabe

danlightbulb said:

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

Why would it have to be with HSBC? 
Go to a good broker and ask if there are any 10% deals around 
When you say rates are far higher how much are they? 
We had a much higher rate to start off with because we really wanted our own house and to stop throwing money away on rent but now it’s come right down 

theoretica

danlightbulb said:

MFWannabe said:

OP I know someone said you’d dismissed this one earlier but great location and great on budget 
surely the piano could go where the single chair is or possibly over by staircase, it’s hard to tell from pictures, again worth viewing and not discounting it based on the pics 
https://www.rightmove.co.uk/properties/75154689#/

Having had another look at it, I agree it looks pretty good. All that is putting me off is that the only obvious place for the piano would be against the party wall, in either the front or back room. I just would always feel like I had to try and keep the noise down to be fair on the neighbours. I am a very quiet neighbour.

Move (or just turn off) the radiator in the back room and a piano would fit against the kitchen wall.

danlightbulb

NinjaTune said:

danlightbulb said:

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

Not sure if you'll see this OP as I get the feeling I might be on ignore, but here goes anyway.  What about adding the 5k you have stashed away for a new piano to your deposit.  How much could you borrow then?

You're not on ignore, sorry if I haven't responded previously.

I have £30k savings. Fees would be around £1-1.5k, so that leaves say a max of £28.5k for a deposit. That was fine for 10% of £190k, and would have left me some over as a safety margin, to buy some furniture and do any needed repairs etc.

But at 15% of £190k it takes the whole lot of my savings, which I'm not happy with as it gives me no buffer. So I could do it still, but its adding to my financial risk.

Even coming down to £160k still needs a £24k deposit instead of £16k. I have it, but I would rather have the larger loan and keep the cash buffer higher.

staffie1

I can’t believe this is still going.

danlightbulb

MFWannabe said:

danlightbulb said:

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

Why would it have to be with HSBC? 
Go to a good broker and ask if there are any 10% deals around 
When you say rates are far higher how much are they? 
We had a much higher rate to start off with because we really wanted our own house and to stop throwing money away on rent but now it’s come right down 

Im waiting for my L&C broker to come back to me with an appointment. But from using some comparison tools it looks like its gone from 2.09% up to 2.65%. That's adding about £60 per month on £190k, or £40 per month on £160k. It perhaps doesn't sound like much but all these little extra bits eat into your budget don't they.

krusty101

staffie1 said:

I can’t believe this is still going.

I’m loving it. It’s like a soap opera 

MFWannabe

danlightbulb said:

MFWannabe said:

danlightbulb said:

I fear this all could be for nothing anyway now, as it looks like there are still very few 10% deposit deals available and the rate is far higher on them. My previous deal was with HSBC, 90% LTV at 2.09% fixed for 2 years. HSBC have a new minimum of 15%. I simply don't have 15%, it would cut my max purchase price from £190k down to circa £150k.

Why would it have to be with HSBC? 
Go to a good broker and ask if there are any 10% deals around 
When you say rates are far higher how much are they? 
We had a much higher rate to start off with because we really wanted our own house and to stop throwing money away on rent but now it’s come right down 

Im waiting for my L&C broker to come back to me with an appointment. But from using some comparison tools it looks like its gone from 2.09% up to 2.65%. That's adding about £60 per month on £190k, or £40 per month on £160k. It perhaps doesn't sound like much but all these little extra bits eat into your budget don't they.

Yes it does but you have to be realistic or do you want to carry on renting for ever and throwing your money away when you could be paying off your own mortgage on your own property? 
theres only so many times we can keep saying the same things here! 
It boils down to ultimately how much you want to own your own home and only you can answer that 
The property at 160k ticks almost all the boxes and you can comfortably afford it. Also gets you on the property ladder! 
When we got out first property the interest rate was higher than the above but we REALLY wanted our own home so was worth it! 

MFWannabe

Ps we spent over 50k on rent until we could buy! Sobering thought and one you can avoid!