Could I get a second home mortgage?

FtbDreaming

I don’t want to go into why too much but I want to work out if it would be possible to buy a 2nd home with a mortgage. 

Current situation 
mortgage £60,000 LTV approx 55-60% £350/month fixed for 5 years from April 2024

loan £10,000 payment £298/month for 36 months 

working full time salary £38,000

Could get a house locally for under £150k don’t actually have any disposable cash (well a couple of grand but nothing proper saved) but could probably scrape together 5-10% deposit (ideally the minimum)

I need to keep this house for the time being and probably long term. I would want to live in 2nd house leaving OH here. 

Both houses would be solely in my name. 

No adverse credit or missed payments. No credit cards or overdraft usage as that was what the £10k was.. consolidation. 

Is it worth looking or would it be a no from the off? 

Mark_d

If you were to get another mortgage for a second property it would likely have to be at a higher interest rate (buy to let), so your repayments might be £1000 per month (£135k for 25 years).  You are already committed to repayments of around £650 per month so I think committing to a further £1000 per month would be stretching things a bit far.

Was a debt consolidation loan the best option for you, or could this debt have been added to your mortgage?

MWT

Mark_d said:

If you were to get another mortgage for a second property it would likely have to be at a higher interest rate (buy to let)...

Buy-to-Let isn't going to be an option as the OP intends to live in the 2nd property, and doesn't have enough deposit either.

Same final answer though, not earning enough to support two mortgages of that size, and the loan repayments just make the affordability even worse.

FtbDreaming said:

Both houses would be solely in my name. 

This bit rules out any obvious alternatives ...

It never hurts to talk to a broker, but it is going to be very hard to get a 2nd mortgage with only 5-10% deposit...