Am I completely insane?

Knightfafnir

Hello all!

I would like a little advice/help/ideas etc.

I am at present living with my partner and a friend. I desperately want/need a space for myself and partner that is our own. Have really run out of patience living with others and having to compromise with how you choose to live. May sound selfish but at 34 I think I have had enough of shared accomodation.

Ideally my partner and myself would love somewhere with a garden as we have two cats. We would like to buy but have a number of challenges with that. I have a problem with renting, however I am getting to the point that I would consider it if cheap enough.

The facts:
Have 50% share of two properties (one in London, one in Glasgow - Live in London property, rent Glasgow). I own them with aforementioned friend and not partner! This friend does not want to release any more money from the equity that has been accumulated so far! (My share of equity stands at the moment at about £30,000 between two properties)

The Challenges:
I - over the last two years - have screwed up on a monumentel level with money!! Got totally out of my control. Very large debt and had to do an IVA. I have done this as a one off payment and it is now satisfied. (My very lovely, fabulous parents cashed in an investment to help me out so I did not have to sell Glasgow{£17000.00 that I have to pay back as and when I can, however they do need it back as soon as possible - ideas needed on how to recover this money?} - I also cashed in my ISA) - the London property did not have enough equity in it to release any money so that the loan to value was reasonable for mortgage so they couldn't take any of that.

I nor my partner have any savings! So no deposit!

He doesn't earn that much - £18,300.00 per annum.

I am self employed and income although much better than last two years, is still not great. This year probably £17,000.00 but is improving!

So, even getting a mortgage agreed (enough for a London property or even just outside) with our income would be hard, never mind the IVA issue.

The Way forward:
Ok, I have been told from 2 financial advisers that I need to wait at least one maybe two years before I will be able to get another mortgage - i.e. no one will lend me the money because of the IVA. Do you think this is true and I should let it lie for a couple of years and start saving!?

I am of course starting to try to save - so far not amassing a fortune!

What we want/fantasy!:
A house/flat with garden - no more than one hours drive from area around East India Dock station (Dockland Light Railway) - Partner's work commitments mean we can't be anywhere else. Currently in South East area - would be happy there or to go anywhere within that one hour radius.

Would love to buy but that is going to be a challenge - Any ideas on how would be most welcome?

If we have to rent - I don't want to spend anymore than £500.00 per month. I am currently paying £200.00 per month including all my bills! £500 would mean my partner and I pay £250.00 each plus bills so that is all we can manage. I feel it is unlikely we can find this kind of rent in London- What do you think? Don't want to rent as feel it is throwing money away, however if I am not living where I am we can rent out that property or at least one or maybe two rooms, which I suppose would recoup some cash.

I would love any ideas/suggestions for buying/renting/long term house sitting/anything else that I could consider.

Please help! I am trying to remain positive, but I am beginning to think that the idea of buying any time soon is a bit of a fantasy.

Ideas?

Thank you so much

CL

If you have a 50% share in two properties, why not each of you take 100% of one of them, that way you can sell it and buy a House where you want, forgive me if there is something I've missed or this seems over simplistic but it's the first thing jumped out at me

Knightfafnir

Hi - Thanks for getting back to me. Much appreciated!

Sorry, I left that out - As well as my friend not wanting to release any more money from either house (so therefore increasing the mortgage) he is not prepared to let his share of one of them go. Each house has a different advantage in having it. The value of each property is quite different. Also we released money from the London one to have a large deposit for the Glasgow one and Glasgow's rent subsidises the London mortgage as well as paying the Glasgow one. Too interlinked - we would probably have to sell our own share and the other buy it. Not sure he would be up for that either! A thought though if we could work it out. It would mean London not being subsidised. Would have to consider all implications of that. I am also feeling I should keep what I have so I at least have a small passive income. Would I get a mortgage for the whole lot? However, something to think about. Open to any more ideas?

Thanks
A tricky situation really!

Knightfafnir

Oh also - the properties are my pension. I don't have one and couldn't afford to put the kind of money away I would need to in order to achieve a decent pension.
Thanks

zag2me

Save up for a 10% deposit first, then start thinking about buying yourself. £200 a month including bills is amazing, even if it is in shared accomodation.