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Original poster

Quick survey re Mortgages

60 replies

Skribble · 13/09/2006 23:09

How do you afford your present mortgage?

Was it a 95% mortgage based purely on your wages? Joint or single wage?

Did you save up specially to put down a bigger deposit?

Did you make enough profit on your last hose sale to allow a bigger budget this time?

Have you got family money? Like inheritance or Mum and Dad helping out?

Why do I ask? Well DH is now on what I think is a decent wage, but we still can afford a decent mortgage, we will make about £10,000 on this house which will help. Just wonder how do people afford all these houses at £250,000 upwards. We live in a fairly cheap area compared to some areas in England.

Go on, how do you afford where you live???

OP posts:
HRHQueenOfQuotes · 14/09/2006 17:57

skribble - we bought our first house by moving away from the town where DH then worked and moving to a pretty cr*p area, with a pretty dire house. It was worth it though just to get our 'foot' on the ladder.

HRHQueenOfQuotes · 14/09/2006 17:58

our and our first house was bought on a 100% mortgage too - so higher rates.

Gobbledigook · 14/09/2006 18:32

We got our first property by using a 100% mortgage too (it was a graduate mortgage so not a bad deal). Once we 'made money' on that property, we never needed to again.

Agree though, we just bought at the right time and that was more by luck than design (it was actually my Dad who said 'no, you need to get on the property ladder' when I starting going on about wanting to buy a car!).

If we were buying our first property now, we would struggle to get anything decent round here. It's frightening. Even the flats are upwards of £200K.

Bozza · 15/09/2006 21:56

We got our first house with a 95% mortgage but it was very cheap - less than 50K so the 5% wasn't very much. Then we got this house with a 90% mortgage. But we have re-mortgaged and obviously with our equity we probably have a less than 50% mortgage but it means that you can get better deals.

buktus · 15/09/2006 22:02

our house is paid for but we are soon going to borrow 30k to do some renovations

justamum · 16/09/2006 00:55

90% mortgage based on 2 incomes, our parents gave us the deposit as they all agreed they would rather us have it now when we needed it than wait for any "inheritance". We were saving for a deposit ourselves but I fell pg and we had to buy sooner than we'd planned, glad we did because I couldn't work pt now if our mortgage was any bigger. We have a good bit of equity in this house now which will be useful as we plan to move when ds starts school.

Twiglett · 16/09/2006 04:58

afford your present mortgage?

  • out of DH's salary alone

Was it a 95% mortgage based purely on your wages? Joint or single wage?

  • no, not a 95% mortgage and it was based on joint wage

Did you save up specially to put down a bigger deposit?

  • my father lent me 5K to put down as a deposit on my first home (flat in London which cost 83K), within 3 years it had increased massively so gave us a hefty sum as deposit (and paying moving fees).. I was lucky

Did you make enough profit on your last hose sale to allow a bigger budget this time?

  • yes we put 90K into this house due solely to the increase in price on my flat (we are also lucky in that we chose an up and coming area at the right time and over the 5 years we've been here our house has soared in value too .. not being smug, but we've been very fortunate .. couldn't move to this area now)

Have you got family money? Like inheritance or Mum and Dad helping out?

  • nope, the money Dad lent to me was the money he would have put towards my wedding. I convinced him I was never getting married .. of course within those 3 years I married and had a child
trice · 16/09/2006 07:05

We inherited 100k when we got married which bought our first house outright in 1997. We sold the house last year for £350k and inherited another £80k. Our current house cost £479 so our mortgage is £50k which we self certify as we have our own business. We have a oneaccount and have £27k on 0% interest on credit cards which means that we pay interest on about £20k.

(I know I am lucky about inheriting all the money but I would much rather the relatives had not died)

GarfieldsGirl · 16/09/2006 07:42

My parents sold us their house for a lot less than market value. Basically we bought a 2 bed house is a decent, quiet area for the price of a 1 bed flat on a main road in a busy, less desirable area.

The mortgage company gave us more than they orginally would so we had 100% of purchase price, they basically took the 'deed of gift' as the deposit.

Most companies would only offer us enough to scrape together a studio. The mortgage we have is a self cert as that was still the only way we could get that amount.

Earlybird · 16/09/2006 07:51

Like many of you have said, I don't know how our children will ever afford to buy their first home when prices are exorbitant for even modest properties. Many of us were able to do it because of parental help with a deposit. But, many of us have admitted in past threads that our properties are effectively our pensions, so it seems unlikely we will be in a position to offer our children a boost onto the housing ladder. Seems to me something will have to change dramatically - I just hope it isn't economically disastrous.

Sorry to be so gloom and doom, but I don't know how things can continue.

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