What Can We Afford?

matador04

herbiesjp wrote: »

Going on the savings you have, you will be looking at 100% mortgages, as the savings will go to cover other associated purchase costs as opposed to be used as a deposit.

If you took an average 100% mortgage deal of say 6.60% over 25 years that would equate to £750 pm (based on £110k mortgage - so half way between what you and OH are looking at)

Over 30 years that would come to just over £700 pm

However to look at these 100% mortgages, in the current climate, you will need a squeaky clean credit history, so I would suggest getting your up to date credit files from Equifax or Experian in order to make sure there are no surprises on there

Thanks very much guys, that's really helpful. I do have another option re the deposit. I've got a bit of a vice for cars and I've got another £4k saved which was evenutally going to go towards a new one. I suppose I could consider using that as well, which would take the deposit up to around £7.5k.

Dick_here

If you're serious about a property, you'd be daft not to use the extra 4k.

matador04

I know. I've been considering leasing a car anyway, which would free up some extra cash from the part exchange with my current one. Downside is I would be paying £200+ p/m in leasing costs.

I wish my o/h had a decent job.

herbiesjp

If you take out new debts, it will decrease the mortgage amounts available to you