I’m worried that the repayments on my help-to-buy loan will count against me with a lender
Q I hope you might be able to provide some insight for me as I begin my (optimistic) search for a first property. I’m 26 years old and single and a couple of years’ ago, I received a £150,000 inheritance. I have sat on it since then but have finally come to the decision to buy a one-bedroom flat in London. I was renting until a month ago but am now back living with parents to give me a chance to save enough money for legal costs and furniture while I navigate my options.
I am also in the process of finding a new job and expect to have a salary of £32,000, once I have been in the job three months. So sometime in October or November I hope to be in a position to buy a property using the help-to-buy scheme. I expect to pay about £400,000 split 37.5% deposit, 37.5% help-to -buy and 25% mortgage. I’m nervous that although I would could get a mortgage of 25% of the value of the flat, there’s no guarantee that my salary will increase enough to cover the repayments when they kick in on the help-to-buy equity loan in five years’ time and this may effect my chances of getting the mortgage. I have separate funds that will cover the stamp duty and upfront costs and so on, so this is not an issue. I’m very lucky to have this deposit but due to my salary I’m not sure home ownership is available to me.
LH
from Property | The Guardian http://bit.ly/2MO3ebw
via IFTTT
No comments:
Post a Comment