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Original poster

mortgage!

30 replies

ac97x · 01/04/2018 23:27

right just looking for a bit of advise.
i am a single parent to my baby boy and i live in a one bedroom flat. i was very lucky to have deposit money to buy it before i got pregnant. i bought the flat for £80k and my deposit was £30k.
however now i am not working as on maternity leave and i am unable to go back to the job i had before, and i have no idea what i'm going to do yet as i have no child care or support..
but my question is, i really want to move and get a 2 bed place so my boy can have his own room but could i get a mortgage if i sold my flat even though i don't have a job? i am currently on tax credits and child benefit. or would it be better to sell my flat and rent?
has anybody been in this situation or have any advise for me? i am stressing!!
thanks x

OP posts:
piercinggelo · 01/04/2018 23:38

No you can't get a mortgage if you don't have the means to pay it back. IE: a job.

HollyBollyBooBoo · 01/04/2018 23:42

I don't think so, how would you pay the mortgage back?

Original poster
ac97x · 01/04/2018 23:47

well i have enough to pay my mortgage now so i was just wondering if i could? my flat is tiny any there's not enough room at all! so would my only option to be sell then rent?
just don't wanna throw away the money that i had as a deposit😔

OP posts:
Dragongirl10 · 01/04/2018 23:48

No mortgage company will give you a mortgage without a job.

PamDooveOrangeJoof · 01/04/2018 23:48

Please don’t sell and rent. You would never be able to get back on to the property ladder

GemmaFoster · 01/04/2018 23:50

I would advise holding fire for a little and while you’re on mat leave consider your options. Mortgages will take child tax credit into account but not maintenance I think. I’m not sure what job you do, but is there an option to vary your employment hours around your child ? Your employer is legally obliged to be family friendly. Whatever job you go back to, working tax credits will support child care costs, so don’t be put off by the cost. It seems you’ve done well to own your own place, so try and hang on to it. Some mortgage companies offer payment holidays also, so give them a call. I do hope all works out well for you.

Original poster
ac97x · 01/04/2018 23:50

that's what i mean i really do t want to sell and rent because of that reason but i just don't know what my options are to get out of a one bed flat x

OP posts:
Florene · 01/04/2018 23:50

If you are on maternity leave still, then possibly if you tell them that you are returning to work. You could try and see what they say. Obviously be sensible about what you can afford though.

Imknackeredzzz · 01/04/2018 23:53

Um no, fundamental part of getting a mortgage is having the means to pay it back. No lender will lend without a steady income -
I.e job.

The regulations for lending are even tighter now than they have been so I’m afraid not an option sorry

GemmaFoster · 01/04/2018 23:54

Of course longer term you will want to move out of a one bedroom flat, but it sounds like you need to do some career thinking when you’re ready. I’d say no rush, one step at a time. For a new mortgage you’ll need to have been working for the same employer for at least 6 months anyway.

Dragongirl10 · 01/04/2018 23:56

If you really have to move, don't sell your flat, rent itout then rent a bigger one, you should have money over from renting out your 1 bed to contribute to renting a 2 bed....... at least you are still on the property ladder.

BackforGood · 02/04/2018 00:02

Why are you unable to go back to the job you had before ? (You say you are on maternity leave).

and i have no idea what i'm going to do yet as i have no child care or support...

Well, most people arrange the childcare when they are on maternity leave. You know, so they can work, so they can pay the mortgage (between the 2 parents). You say you are a single parent, but (without information to the contrary), the fact you have a baby suggests there will be a father who needs to contribute financially if not emotionally.
Obviously you can't expect anyone to lend you money without the prospect of it being paid back, but, whilst your dc is a baby, then a 1 bed flat is do-able until you can afford better, surely? You'd be daft to sell now, once you are on the ladder, if there is a way of avoiding that.

snewsname · 02/04/2018 00:06

Yes rent your flat out and use the profit from that to contribute to the rent on a two bed. At least you stay on the property ladder then.

VanGoghsDog · 02/04/2018 00:13

Not many landlords will rent to someone with no means of support either.

FireworksBaby · 02/04/2018 00:20

If you sell your flat and have the £50k equity in a savings account, you might lose your tax credits. I'd hold on until you've finished mat leave and then look at can find nursery or childminder, so you can get back to work. At that stage it will probably be clearer if you can afford to buy a 2 bed, or rent your flat out to rent a 2 bed.

Itslookinglikeabeautifulday · 02/04/2018 00:44

I would definitely not sell your flat now - you risk falling off the property ladder. Renting it out is an option, as others have suggested, but I think you would be wise to stick it out in your flat for a year or two until you are in a better position (re job/childcare) then sell your flat and buy a two-bed. Your baby son doesn't need his own room yet. Hope all goes well for you both.

PerspicaciaTick · 02/04/2018 02:39

Plan your transition to a new career and find childcare etc. then start thinking about moving. Your baby won't need their own space for a couple of years yet.

TroubledLichen · 02/04/2018 02:47

As others have said, do not sell up as you risk not being able to buy again. The security is worth more than the second bedroom, especially as your DC is still young. Focus on getting back into work and then, and only then, look for a bigger place. If sharing a bedroom with your DC isn’t working for you any more then get a sofa bed and you sleep in the living room.

zeddybrek · 02/04/2018 02:53

Your baby won't need a separate room for a long time but what is important is not falling off the property ladder. Take your time, good luck.

DrunkOnCalpol · 03/04/2018 12:40

Your baby really doesn't need his own room for at least a couple of years, by which time hopefully you will have a job. What your baby needs is a stable place to live which is what he has, if you rent you are at the landlord's mercy. Many people choose to share a bed or a room with their children until they're toddlers, if I was single I would choose to share with my baby even if we had a spare room. You are definitely not depriving your baby of anything by living in a one bed flat.

titchy · 03/04/2018 13:23

Why can't you go back to your job? Find childcare like millions of other people. Topped up with tax credits if your income is low. THAT is the single best thing you can do for your child - their own stable home and a secure working parent. Far more beneficial than renting a two bed flat with no financial stability.

NoodlesLivesHere · 03/04/2018 13:57

@ac97x some advice has been harsher than others but the basic theme is very similar.

You don't currently know what your income stream will be when your maternity pay ends (please check you don't have enhanced pay that is dependent on your return to the workplace otherwise this will be a nasty financial shock when you hand in your notice). This means you will not be approved for a mortgage and highly unlikely to be approved to rent without a guarantor. I'll confess to not being an expert on housing benefit but it stands to reason you wouldn't qualify with an existing property (happy to be corrected on this one though if someone is in in the know).

Realistically you can live in a one bed place with a child for several years if needs be as a lone parent.

Once you've figured out childcare options and working options you'll be in a stronger position to apply for a mortgage to buy somewhere bigger or even rent somewhere bigger and let out your current home.

It's not a perfect scenario but right at this moment in time you have a secure home for you and your child. Space and privacy will come with time.

Original poster
ac97x · 03/04/2018 18:13

i'm not saying i can't live here i was just asking advise so no need to bite my head off people! and i can't go back to my job for personal reasons. i haven't said i won't go and get a job because i will when my maternity would of stopped.
i just wanted advise not made to feel rubbish

OP posts:
19lottie82 · 03/04/2018 18:29

No one is biting your head off or trying to make you feel rubbish, posters are just suggesting you be realistic. Calm down and take in what people are telling you.

Your baby does not need it’s own room at the moment. Once it reaches, that stage, a couple of years down the line, you could be back at work and able to sell your one bed and upgrade to a 2 bed.

Selling your flat at the moment to rent, is a very bad idea.

Speedy85 · 03/04/2018 18:35

OP sorry if you found the tone of the other posts harsh, but my advice would be to find new employment that you're happy with, then work out whether you can afford to move. The baby will be fine sharing the moment, and if you feel you need separate rooms then a sofa bed in the living room could work for a while.

The amount you can borrow on a mortgage is usually 3 times your salary, and you usually need to have worked somewhere 6 months.

I would strongly advise against selling up and renting instead. You'll end up losing money. You have done well to get on the property ladder at such a young age before having a child, so don't give that up!

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