Loan to value

Trader_mick

Hi all , 
looking at potentially buying a property ,I’m a company director ( limited ) - what is roughly the maximum I could potentially borrow , joint income 65 k ( 45 myself , 20 wife ) 
thanks in anticipation 

[Deleted User]

90% typically, although you'll get better rates at a lower LTV.

Trader_mick

Thanks for the reply ZX81
in your experience what would we potentially be able to borrow on joint 65 ?
Also from the point of view of the application , I am technically employed by a limited company ( Sole director ) does a mortgage company class me as self employed and does that have a bearing on what they lend ?
Finally is the independent broker route the way to go ?
thanks again 

Trader_mick

Meant to say I’ve got between 70 and 80 k deposit 

K_S

Trader_mick said:

Hi all , 
looking at potentially buying a property ,I’m a company director ( limited ) - what is roughly the maximum I could potentially borrow , joint income 65 k ( 45 myself , 20 wife ) 
thanks in anticipation 

@trader_mick Very very roughly speaking you can expect to potentially borrow around 4.5 times income, so around 290k.

Yes, as a ltd. co. sole director you will be classed as self-employed which (in the current environment) somewhat limits your options compared to someone on salaried income. Currently, SE applications are subject to significantly more scrutiny than employed.

On the plus side, it looks like you will likely have a 20%+ deposit which will definitely help. If you are looking to maximise borrowing, I would recommend getting in touch with a whole of market broker who can look at the details and give you a realistic idea of your options.

Trader_mick

Thanks K_S