First time mortgage advice.

BMcN

I am 22 and started a new job, earning £18500 per year (will increase a little after 3 months and after 1 year increase to £23400. My girlfriend has started an adult apprenticeship, so only earning £11500, increasing to at least £18000 in about 18months time.

We are looking to buy our first property and will probably need to spend around £90000 in the area we live.

We don't have any real savings so may need to be close to a 100% mortgage. Can anyone advise how much we will be allowed to borrow and what sort of repayments we would be looking at.

Any advice appreciated, more info we can get before visiting a bank or broker the better. Cheers. :beer:

MortgageMamma

Hi there

what is your credit history like? any defaults, ccj's or past bankrupcies?

DO you have any other debts, such as credit cards, loans, car finance, catalogues etc?

Are either of you in a probationary period?

BMcN

MortgageMamma wrote: »

Hi there

what is your credit history like? any defaults, ccj's or past bankrupcies?

DO you have any other debts, such as credit cards, loans, car finance, catalogues etc?

Are either of you in a probationary period?

My contract will be reviewed after 3 months, I won't be going ahead until I am past this (around mid February).

Neither of us have credit cards, finance or catalogues, CCJs etc. So shouldn't be any black marks that way, although we were planning to get a credit card soon just so we do have a paper trail.

I owe some money on my car, around £3000 roughly but the loan is not in my name, a family member offered to get it for me due to getting a much better rate than I was offered.

MortgageMamma

Well taking the facts provided into consideration i see no problem in you attaining a 100% mortgage for 90k, but I do think due to the fact you need a 100% mortgage and this is your first purchase that you would be wise to seek professional assistance from a whole of market mortgage adviser. Whole of market means they have access to all (or most) mortgage lenders whereas if you went into your local bank they could only advise on their own. Using a mortgage adviser means you will get a better deal as they will recommend a mortgage to suit your specific personal needs, i.e. the best one for you from a large number of mortgage lenders. There are no as many lenders in the 100% market as there used to be due to the credit crunch - and the number of players is still gradually declining-so you need to get an agreement in principle as soon as possible really.

poppy10_2

BMcN wrote: »

My contract will be reviewed after 3 months, I won't be going ahead until I am past this (around mid February).

Neither of us have credit cards, finance or catalogues, CCJs etc. So shouldn't be any black marks that way, although we were planning to get a credit card soon just so we do have a paper trail.

I owe some money on my car, around £3000 roughly but the loan is not in my name, a family member offered to get it for me due to getting a much better rate than I was offered.

Not having any credit in your own name could actually work against you, if you've never had a loan or credit card before the banks will be less keen to loan you £90,000.

MortgageMamma

Its worth noting that there are lenders that dont go off credit score, they go off credit check, this means that if your score isnt brilliant instead of writing you off immediately, they will actually take the time to look into your credit file to see why score is low. if its just a case of not having much credit they are happy to lend.