I am currently trying to put together our 5 year plan.....
We bought our small 2 bed cottage in 2008 (before the crash) for £175,000 (with a 5% deposit) and intended to move to a family sized home a few years later.
I am now about to have our first child and this house is fine size wise for now. Because of my age we hope to have another child in 2 years. For a few years we could cope with living here but as they grow and especially if I have different sex siblings then we need to move.
Our mortgage was agreed to use when we were both working full time with no children. My question is.... How are mortgage amounts calculated for second time buyers??
Our cottage is worth £170,000 (we owe £149,000) and I have found an ideal house that we could move to for £185,000 so not a great deal more. We can comfortably pay our current mortgage so know that we would cope with this small increase (even when rates go up)
Our 5 year plan includes saving an additional £30,000 so we will have £50,000 to put forward as a deposit on a £185,000 house. The thing that has change though will be our income as I will be going down to 3 days a week.
My DH earns £35,000 and I will be on £15,000
Is this doable or are mortgage companies going to laugh in our face?? (Going by the 3x main earner principle we have no chance but was hoping that there was some way of just transferring a mortgage to a new property or something??
TIA