Mortgage Advice

shie6523

Hi,

I’m a first time buyer looking to purchase a house to the value of £129,995. I currently have a 10% deposit, no poor credit history and am in full-time employment (I have been fully employed for 15 years). I am scheduled to meet a mortgage advisor this week. I am aiming to acquire a mortgage with a fixed rate, fees free, no HLC with a monthly mortgage payment between £600-£700 per month.

I am unsure what the strength of my position is in terms of obtaining a mortgage. I really do like the house I’ve seen and would like to purchase it quickly before I lose out. I don’t want to meet the mortgage advisor if I am not in a strong position to get a mortgage – it would be a waste of time

Also, how long would it take to obtain an Agreement in Principle from the Lender? If I obtain the AIP can I begin to make a concrete offer on the property?

Cheers

Darren.

andys15

shie6523 wrote: »

Hi,

I’m a first time buyer looking to purchase a house to the value of £129,995. I currently have a 10% deposit, no poor credit history and am in full-time employment (I have been fully employed for 15 years). I am scheduled to meet a mortgage advisor this week. I am aiming to acquire a mortgage with a fixed rate, fees free, no HLC with a monthly mortgage payment between £600-£700 per month.

I am unsure what the strength of my position is in terms of obtaining a mortgage. I really do like the house I’ve seen and would like to purchase it quickly before I lose out. I don’t want to meet the mortgage advisor if I am not in a strong position to get a mortgage – it would be a waste of time

Also, how long would it take to obtain an Agreement in Principle from the Lender? If I obtain the AIP can I begin to make a concrete offer on the property?

Cheers

Darren

I would say no chance what so ever. If you go to THIS IS MONEY website and do a mortgage search you can search for no fee, no hlc etc(MFORM ENQUIRY) and see what it comes up with. About 2 months ago, I had about 12 pages of suitable mortgages on there which had no HLC, and little fees(less than £1000), now I have half a page, but the fees are higher.

herbiesjp

shie6523 wrote: »

Hi,

I’m a first time buyer looking to purchase a house to the value of £129,995. I currently have a 10% deposit, no poor credit history and am in full-time employment (I have been fully employed for 15 years). I am scheduled to meet a mortgage advisor this week. I am aiming to acquire a mortgage with a fixed rate, fees free, no HLC with a monthly mortgage payment between £600-£700 per month.

I am unsure what the strength of my position is in terms of obtaining a mortgage. I really do like the house I’ve seen and would like to purchase it quickly before I lose out. I don’t want to meet the mortgage advisor if I am not in a strong position to get a mortgage – it would be a waste of time

Also, how long would it take to obtain an Agreement in Principle from the Lender? If I obtain the AIP can I begin to make a concrete offer on the property?

Cheers

Darren.

You don't say what your income is - without that we cannot see if you have the right income multiples

Also - do you have any other debts?

With 10% deposit you should find loads of deals with no HLCs.

Not sure what you men by fee free deals - you normally find these for re-mortgages as opposed to purchases.

You can try and find deals with lower arrangement fees, if that is what you mean.

Depending on the lender, and the system they use, it can take between 10 minutes and 48 hours to get an AIP.

As long as the information on the AIP is not going to change, I can't see why you cannot make an offer once you have the AIP

shie6523

My annual gross income is £28,100.

My only main debt is £95 per month on a finance deal I have and £20 per month on my mobile phone.

Darren.

aliwali

Hi Darren

I think you will struggle to get a fixed rate fee free repayment mortgage at a rate that will make your monthly payments between 600-700. Interest only maybe.

Our mortgage is 103,000, 21 years left and we have just remortgaged to 5.48 and the monthly payment is £688. We wanted a fee free fixed deal and the best our broker could find was about 6.3, I hate to think what the monthly payments would have been on this.

Sorry to be doom and gloom. I really hope you find something affordable when you see the advisor.

Alison

silvercar

With the stamp duty threshold at 125k, no-one buys a house at 130k. You would be wasting £1,300 on stamp duty.

shie6523

I'm hoping to purchase the property between £120,000 and £125,000.

Darren.

herbiesjp

Well it will all boil down to the final purchase price, as to which lenders you will have available - as if the purchase price is lower, the income multiples will be lower, and more lenders may be willing to look at the deal for you.

Just be careful about the fee free aspect - be clear what you mean - as if you are talking about the arrangement fee, be clear to specifiy that