Markus

Hello all, hope you had a good xmas and new year. I did!

I am looking at being a big boy and moving out of my parents and getting a flat.

Now, I could rent, but I do tend to see it as throwing money away, but, house prices are a tad bit silly at the moment, but, having property would be great, it would be mine (ok, technically the banks, but you know what I mean ) and I like the idea.

Therefore I am looking at possibly getting a mortgage, now if all was hunky dory then it would not be a problem, but I have a rather large loan (as previously discussed on another thread), so I can see that as counting against me, as would the fact I would have a small or, more likely, no deposit (so 100 percent mortgage)

Now, I have no clue about mortgages, what to look for, etc... So I'm asking you lot for advice. So, help!!!!

Ok, one silly thing, I've not looked at flat prices in local areas yet, so I guess that would be a good starting point to know what I'm up against, but I think doing it the way of finding out how much a lender would give me might be better, rather than finding my dream flat and being crushed when I can't get it due to mortgage.

So, advice welcomed.

Amanda-Jane

My sister went with Northern Rock, she got a 100% and incorporaterd her loan too.

Have a search about on the net at different providers and go to a few different mortgage brokers and see what they have to same for themselves.

AJ

ScoobyK

Markus, as AJ has already said, incorporating your loan would be a damn fine move Very likely that you can get a far better rate on a mortgage debt than a std pers loan, even in today's market.

Please feel free to post specifics / email etc but in principle, it can be done, and you could find yourself getting a sensible deal including the loan.

That said... you've no deposit, and have a large loan (I havn't read the thread you mention)- are you financially ready to move out ? Is it worth curtailing your social activities for a few months and proving to yourself and a potential lender that you are able to save / accumalate wealth ? (this will also help you get a better mortgage deal).

Grab me at the next ESS meet and I'll happily provide a sounding board

ScoobyWon't

Why don't you live in the hearse? Plenty of room in that!

Seriously mate, you should have no problems getting a mortgage even though you have a loan. I can get a mortgage in the UK even though I've still got a mortgage in Spain which only started in October. Even it counts as a £90K loan but they aren't concerned about this at all.

Best way to do it is find out what the highest figure is they will give you and then start looking around. At least that way you know which you can afford.

Even better - don't move in and let it out - someone else can pay the mortgage. Hell, my mortgage is being paid and I'm making £200 in profit too, courtesy of my tenants.

Markus

John,
thanks for that mate. Would love to know where you'd be getting a morgy from in the UK, and any other advice.

Dream Weaver

Defo get an IFA in - they will sort everything out for you and it doesnt cost you anything

Tim Bomford

I second the IFA part. They will listen to your requirements and advise accordingly.

Markus

OK, anyone want to recommend any good IFA's then?

JoeyDeacon

Don't forget though that unless you are paying the IFA for his time he will be getting a commision from the mortgage company on any mortgage he recommends you take out.

So lets assume he gets £300 commision from Mortgage A and £500 commission from Mortgage B. which Mortgage do you think he is going to recommend???

Why do you need a so called IFA anyway?? The best person to make financial decissions that are purely in your interests is you. A good place to start looking at mortgages is www.moneynet.co.uk

ScoobyJawa

Hi mate. Just re-mortgaged myself! I used an IFA recommended from my Dad and he was absolutely superb, I'd highly recommend him, or definately at least get yourself an IFA. The guy is based in Chobham, Surrey - a bit far away but drop me a mail mate if you want his number.

Good luck chappy
Neil.

dsmith

During my recent move I used an IFA mortgage bloke. At the end of the day I found the deal I wanted through the web. (www.charcol.co.uk and others). I told him what I wanted - he fills in forms/chases mortage people etc. etc. spends 20 mins on hold blah blah. In affect I get a secretary paid for by mortage company Worked for me

Deano

Dave P

with a loan what they tend to do is work out what they are prepared to lend... then take off 12 * your monthly loan repayment from that amount.

The IFA sounds like a good idea, but worth buying a copy of What Mortgage as this is quite helpful with more general advice.

Was looking in the Couriers homebuyer this week and property in our neck of the woods is quite dear at the mo. Biggest problem is everyone expects house prices to fall but no one knows by how much.

If this happens you may find yourself in negative equity (As I did 7 years ago) now this is only a problem if a) you lose your job b) you want to trade up.

All the best

Dave

Stueyb

Hi there,

Just buying my first house and the old finding a mortgage is a nightmare, one piece of advice worth its wieght in gold is to get an independant mortgage adviser, esp if you have a few credit issues.

Most good estate agents will be able to advise or recommend an independant mortgage adviser. Most of them dont cost anything, just the commision from the lender goes to them. Mine found me an excellent deal with 100% ( you can actually get up to 125% with northern rock, whom im with ) They can scoure the ENTIRE range of mortgages for you and recommend the best, unlike tied advisers ie those that are tied to HSBC, Barclays etc. They are a lot cheaper also, sometimes by as much as a couple of %.

And dont forget about the sh*ty bits, like stamp duty, survey fees, and arrangement free, as well as solicitors. (Just kissed goodbye to 1.2K there alone for that lot)


[Edited by Stueyb - 1/6/2003 4:15:25 PM]