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  • FIRST POST
    • Rfrancis
    • By Rfrancis 9th Feb 18, 8:44 AM
    • 2Posts
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    Rfrancis
    Mortage & Outstanding debt
    • #1
    • 9th Feb 18, 8:44 AM
    Mortage & Outstanding debt 9th Feb 18 at 8:44 AM
    Hi all,
    My husband and I are planning to move house next year in order to be in a better area to secure a better primary school for my daughter (we have to apply for schools November '19).
    We have done some rough calculations regarding our outstanding debts. Mine will be repaid by August '18 which means I can then start savings for the fees involve with moving house. However my husband will still have some debt left over (approx. 5k) by the time we want to move. Is it worth us paying off this debt rather than saving for the house move fees or is it generally ok to have some debt between us when applying for a mortgage?
    According to the brief look at the mortgage calculators, with the 5k debt, we would be able to borrow enough for houses in the area in which we want to move to (housing market dependant of course!) but we really want to maximise our chances of getting the mortgage approval.
    I hope that all make sense and someone can give me an idea as to which direction to work.
Page 1
    • enthusiasticsaver
    • By enthusiasticsaver 9th Feb 18, 9:13 AM
    • 6,255 Posts
    • 12,384 Thanks
    enthusiasticsaver
    • #2
    • 9th Feb 18, 9:13 AM
    • #2
    • 9th Feb 18, 9:13 AM
    Moving house costs money and 5k of debt would be considered acceptable although it may reduce the amount you can borrow on affordability grounds. If you don't start saving for fees after August how were you going to pay for them?
    Debt free and mortgage free and early retiree. Living the dream

    I'm a Board Guide on the Debt-Free Wannabe, Mortgages and Endowments, Banking and Budgeting boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Any views are mine and not the official line of moneysavingexpert.com. Pease remember, board guides don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com
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