Shared ownership - chances of acceptance

Ybot12345 · 15 March 2017 at 6:57PM

Hello

I'm hoping that somebody on here may be able to offer their opinion to stop me from going crazy!

Me and my girlfriend have found and been allocated a shared ownership house. Full value £395k, of which we are looking to take a 25% share of £98750. We have a 10% deposit saved up and about an additional £3k to cover other moving costs. The monthly rent will be £678 and service charge is £32 - so easily affordable considering mortgage will be around £440 a month..

I'm very worried that my debt is going to mean there's no chance we can get the mortgage we need though.... we've already done an affordability assessment with the housing association which was fine, and we've done the online affordability checks too which have said that we could be offered up to £181k, so well above what we actually need.

I'm on £39k and my girlfriend is on £31k. She has no debts at all, and I have 3 credit cards with c.£7k debt on - all of which I'm overpaying and have been for 6 months to bring down, and am in overdraft on two accounts, one £750 and the other £500. Payments always made on time.

Could anyone please put me out of my misery and let me know whether it's pointless going any further?!

Thanks for any help you can offer!

donfanatico · 15 March 2017 at 9:17PM

Since you are not borrowing that much, maybe she could be the main applicant? Not sure if that makes a difference but I'm sure someone else could advise.

Ybot12345 · 15 March 2017 at 9:32PM

Thanks for your advice, we're meeting with a broker on Friday so I'll see whether this could be a potential option!

Ybot12345 · 24 April 2017 at 3:49PM

Update - for anybody interested or found themselves in a similar situation to me - it can be done!! We received our joint mortgage offer from Leeds Building Society before the weekend. Very pleased!

I really can't recommend using a broker highly enough. Ours pre-empted every question the underwriters may have asked and had the evidence all neatly packaged up in our original application. No further requests or queries were received from Leeds and it appeared to be a very straightforward application.

The full application was made on 7th April, so took two weeks including a bank holiday weekend to have received the offer letter.

Lau0707 · 27 April 2017 at 9:18PM

Hi!

Thanks for this, I have found a shared ownership for £106, 40% of the house. We need a 5% deposit, and moving back home with our children to save up even more before we could potentially move in.

Currently waiting for our mortgage broker to seek options. Have an API from Halifax, who i bank with, and have borrowed money and paid back, but they want 3 years self employment, which I only have 1, so my broker is looking at their lenders now. Fingers crossed!!! Really want to get onto the ladder now, i've paid £48,000 in 4 years on rent, and dont own nothing

Shared ownership - chances of acceptance

Comments

Categories

Get our FREE Weekly email full of deals & guides - and it’s spam-free