Owning your own home

Anyone know off the top of your heads how much one could borrow based on a salary of £56k and £20k deposit?

It's for a friend

3 times your salary?

Ah right, total n00b here

Anyone know off the top of your heads how much one could borrow based on a salary of £56k and £20k deposit?

You could probably borrow around £220,000 at the maximum depending on circumstances like credit history etc.

Anyone know off the top of your heads how much one could borrow based on a salary of £56k and £20k deposit?

http://www.fool.co.uk/mortgages/mortgage-calculator/borrow-calculator.aspx

You could probably borrow around £220,000 at the maximum depending on circumstances like credit history etc.

Maybe if there was a second income on the mortgage but I don't know if you could really get that amount these days.

So depressing looking at what you can get for 200k in Brighton (our dream location) compared to up here

I mean my mate's dream location

Move to Brighton?

That's giving me between £160k (not realistic for the areas we're looking at) and £230k (more like it)

Maybe if there was a second income on the mortgage but I don't know if you could really get that amount these days.

I agree it's at the top of that range but it is possible. You could also increase the size of the mortgage by taking advantage of the newbuy 5% scheme if you don't mind a new build.

Move to Brighton?

Unrealistic with our careers at the moment (media whores)

I agree it's at the top of that range but it is possible. You could also increase the size of the mortgage by taking advantage of the newbuy 5% scheme if you don't mind a new build.

Actually attracted to a new build as long as it looks nice

All I hear about new builds is they are all done on stupid tight budgets and have corners cut everywhere.

Yeah can't be having corners cut, my bookshelves wouldn't fit

Unrealistic with our careers at the moment (media whores)

Is there no scene there? Telecommute?
Scrimp and save for years here, preferably moving between squats and then buy when you're sick of media whoring.

Only a complete idiot needs a mortgage adviser.

They are little more than a used car salesman with a shiny suit and a calculator.

In rare disagreeing with andyp moment, this is not true!

Due to economies of scale, brokers have serious leverage in the market, which means not only that you may have a better chance of being accepted for a mortgage through a broker, but also that you may get a better rate through the broker which is unavailable to individuals.

If you go with a decent broker like London & Country (very good reputation, recommended by Martin Lewis), who I used, they make money from the transaction but they make it from the bank or building society, not you. So in my case Nationwide paid £828.25 to London & Country.

You could argue that indirectly I will pay for this through my mortgage. You're right, but so will everyone else.

So if you do hours of exhaustive research which comes to the same conclusion as my broker and sign up for the mortgage yourself, you've just helped subsidise my getting someone else to do all the hard work for me.

Thanks!

If anyone does decide to go with London & Country, please ask for Christopher Steele and tell him Pete Biggs sent you, as I'll then get a £15 M&S voucher to buy socks with.

If anyone does decide to go with London & Country, please ask for Christopher Steele and tell him Pete Biggs sent you, as I'll then get a £15 S&M voucher to buy sex with.

Good grief!

Is there no scene there? Telecommute?
Scrimp and save for years here, preferably moving between squats and then buy when you're sick of media whoring.

Not really like there is here, the plan is to go freelance once we've got more experience/contacts, also as much as I like it down there, I still love this town.

If I drop your name can I have £5 worth of sex?

Actually attracted to a new build as long as it looks nice

My girlfriend and I have just put our holding deposit down on a new build in SE London. The rates are currently pretty favourable at NatWest (lower on a 5yr fixed than a 10% mortgage!!).

I guess it depends on the size of place you want. There are one bed / studio places where we are buying for around £180k

Nice, I like that area (checked further up the thread). Minimum requirement is 2 bedrooms, separate kitchen and lots of light. Demanding I know but it's what we need, and we don't want to have to move house if a demon comes along.

Sorry by demon I mean child.

Crispy, is that £56K a joint income or one? It will affect how much they will lend you. Your biggest problem is the £20K deposit on a c.£200K purchase - the good deals and the range of options kick in when your LTV ratio improves. A 10% deposit gets you very little these days.

Yeah joint (alas). Just found out it's more like a £30k deposit