General Discussion: mortgage help


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Hello World
Hello World avatar

12102 posts since 7/3/05

16 May 2008 12:04
Noble Locks wrote: 175

no chance now.

Flipper
Flipper avatar

487 posts since 2/1/07

16 May 2008 12:11
Noble Locks wrote: 175

Laughing out loud
Strummer
Strummer avatar

2163 posts since 24/7/04

16 May 2008 12:37
AAA wrote: With 20k savings and a wage of 25K a year what sort of mortgage could you get?

They tend to use affordability models now so will take into account all of your outgoings (credit cards, loans, car finance etc).

Assuming you don't have anything huge in those categories, you might get £110-120k.
suki2shoes
suki2shoes avatar

892 posts since 6/10/04

11 Dec 2010 17:45
no point in starting a new thread so ill stick my question here in the hope someone will know !

Looking to purchase a three story house thats recently been converted into 3 self contained flats which id let out(all flats under 1 title deed of the house).

IVe been told that id need to get a commercial mortgage for this property and not a buy to let mortgage. Is that correct, wont buy to let lenders look a this type of property ?
wellworn
wellworn avatar

831 posts since 6/7/02

11 Dec 2010 18:31
from recent enquiries i've made, most major banks won't do buy to let where there's more than one tenancy agreement, i'm looking to buy the same at the moment but live in one flat for a few months, the other 2 are already rented. i've got a 70% deposit and want to borrow less than x1 of what me & the mrs earn per year but the high street banks won't touch it. i can give you the name of a commercial broker if you're looking for any help.
Strum
Strum avatar

1075 posts since 16/11/05

8 Sep 2011 09:18
Sorry to drag up an old thread, but didnt want to start a new one.

The only way im going to be able to get a mortgage at the moment is to do a joint mortagage with my mum or dad. Ive got the deposit, and i can afford the monthly repayemnts etc so my mum or dad will purely be used to help me get the actual mortgage.

Does anyone know how these joint things work? I mean, say in a couple of years, when i should be on a far better salary, how easy will it be to get my mum or dad taken off the mortgage, and put just in my name?
Also, can they get another mortgage whilst having the joint one with me?
saxonheights
saxonheights avatar

344 posts since 17/8/11

8 Sep 2011 09:50
I did this on my old place, it was pretty easy, although that was in 2007 when the banks were still giving out cash in buckets.

It depends on a few things, how old are your parents? The bank might want to offer a mortgage with a term up to their retirement.

Its easy to get them off the mortgage, just do it if/when you remortgage so the legal stuff is happening anyway, or a solicitor should be able to do it for around £500. Your parents just sign something which says they don't want any cash for being taken off.
Strum
Strum avatar

1075 posts since 16/11/05

8 Sep 2011 10:38
nice one, my mum n dad are both around 50, and my mums got no plans of retiring soon, but my salary should be high enough to take over the mortgage in a year or 2 anyway.

Can she still take out another mortgage whilst shes on a joint one with me?
seenmy
seenmy avatar

6533 posts since 17/6/06

11 Sep 2011 18:52
anyone on here got a mortgage who is self employed?especially in creative industry,
robii
robii avatar

18857 posts since 8/9/06

13 Sep 2011 10:27
I'm looking at switching mortgage lender but don't really understand how it works.

If you buy a house and start a new mortgage you need a deposit of 10/20/30% so how does that work when you're switching lenders? My house cost 93k eight years ago and is worth about 115k now. I've got about 65k left to pay on the mortgage so do I need a deposit to remortgage or is that covered because there's plenty of equity?
aitch
aitch avatar

8923 posts since 19/8/07

13 Sep 2011 11:25
What was the original mortgage amount for? You can get another valuation on the property when you setup the new deal which would be subject to fees. That way they can see if the house has gone up in value and offset that against what equity you have in the property based on the current value.

Whether they do a drive by valuation (less than £100) or a full valuation (about £250) depends on the accessibility of the property I think.

Edit: In fact, they wouldn't need to do another valuation as you've got about 30% equity already in the property which would count as a deposit. The only thing you might want to think about is whether it will be worth getting a valuation done to access better mortgage rates with a deposit of say 40-50% if you can prove the property is worth £115k. You could probably stand to save yourself another £50 a month that way.
FLG
FLG avatar

5861 posts since 21/5/04

13 Sep 2011 11:30
robii wrote: covered because there's plenty of equity

Edit - same lender for 8 years Eek
robii
robii avatar

18857 posts since 8/9/06

13 Sep 2011 11:44
FLG wrote:
robii wrote: covered because there's plenty of equity

Edit - same lender for 8 years Eek

What's up with that? I was on a fixed rate for most of that (at under 5%) and now a variable tracker, which has been great given how low interest rates have been the last couple of years. Looking to change now as some places are advertising fixed rates for ten years at under 4%

Cheers Aitch and the house was 93k minus the 10% deposit I paid
Noble Locks
Noble Locks avatar

66963 posts since 10/7/03

13 Sep 2011 11:53
no deppo required
aitch
aitch avatar

8923 posts since 19/8/07

13 Sep 2011 11:56
In that case, it probably would be worth getting a new valuation as you'll be able to access a wider range of the market with a 40-50% deposit, especially if you're looking for ten year deals.

I've just changed deals myself, with the same vendor. Essentially I got 5 years fixed at 6.89% 3 years ago and interest rates have gone down since. I would have changed deals sooner, but my mortgage company's get out fees were tricky:

1st Year - 5%
2nd Year -4%
3rd Year - 3%
etc

I'm just going into my 4th year now and the savings outweigh the get out fees massively. My repayments went from £869 to £477 a month Cool
FLG
FLG avatar

5861 posts since 21/5/04

13 Sep 2011 12:23
robii wrote:
FLG wrote:
robii wrote: covered because there's plenty of equity

Edit - same lender for 8 years Eek

What's up with that? I was on a fixed rate for most of that (at under 5%) and now a variable tracker, which has been great given how low interest rates have been the last couple of years. Looking to change now as some places are advertising fixed rates for ten years at under 4%

Nothing up with it just never heard of it done before. I've had mortgages on 3 properties (all at the same time for a while Laughing out loud ) and I've had to move all of them after the 2 or 3 year break for better deals.
Noble Locks
Noble Locks avatar

66963 posts since 10/7/03

13 Sep 2011 12:26
never changed a mortgage lender in my entire life. Puzzled
FLG
FLG avatar

5861 posts since 21/5/04

13 Sep 2011 12:33
Really? Maybe an England/Scotland thing but can't understand why. All my mortgages changed after 2/3/4/5 years and then you remortgage to get the best deal available. Sometimes saving up to £200 a month on the mortgage.
Jake Unkutt
Jake Unkutt avatar

2845 posts since 2/3/04

13 Sep 2011 12:43
Thinking about getting in on the property game myself. Might go in on a 2-3 bed place with my brother around Hackney or something…
The JP yen is so strong against the pound at the moment my salary is pretty decent (in GBP) and I have ample savings for the deposit sorted.

-How hard is it to get a mortgage when not currently a resident in the UK? (If even possible at all)
-Is now a decent time to buy, or would waiting a couple of years be better?
Noble Locks
Noble Locks avatar

66963 posts since 10/7/03

13 Sep 2011 12:45
buy now, and just get your brother to have it all in his name if not being a resident is a problem. which im certain it is.