First Mortgage - Advice gratefully received.

Boggles1234

Hi,

I am looking at buying my first house and taking out my first mortgage. I have seen a nice house locally which we could probably get for around 90,000.

As I can;t afford on my own, my parents have said they are willing to put in a lump sum of £45,000 on the condition that once in 12-15 years I look at remortgaging and buying them out. The loan from them will be done properly through a local solicitor and everything.

I have debts of around £9000 which I pay approx £700 a month towards. I am looking at the idea of me taking out a mortgage of £45,000 for the property plus £9000 for the debt and lumping it all together.

I have been looking at various calculators online and most show that a repayment mortgage for both combined would be well below what I currently pay each month towards the debts.

Does anyone know how a mortgage company would view this idea and also is there anyone you would reccommend I should be looking at?

Thanks.

minimike2

So effectively you will be using £9k of your parents money to pay off your debts.

Do they know this is the case?


We also need to know your income and credit history before we can point you in the right direction. Have you not spoken to a mortgage broker yet? Usually its best to do that BEFORE you go looking for houses, so you know what price range you should be looking at.

Boggles1234

My parents do know I would be lumping existing debts in but are happy with this providing they get back all th cash they put in - hence the agreement with the solicitors.

My monthly income after tax etc is around £1200 and my credit history should be quite good. No CCJs and no defaults that I am aware of. I have an appointment with a mortgage broker who is coming round this evening for a bit of a chat about everything.