Mortgage advice for first time buyer

[kirstygem]

This may seem like some stupid question sbut would really appreciate some help with them. DH, DD and I currently lived in a rented house, cheapish rent as comes with my DHs job as he in the army. We thinking about future when he comes out army and planning to buy a house at this stage if at all possible. But I have realised that i am totally clueless about it and how much we may need to save etc.

1. How many times your salary are you allowed to borrow?
   
2. Does a deposit have to be 10% of total price of house? Not sure where I got that number from!
   3)What other hidden costs eg soliciters are there and how much roughly should they add up to?
   Sorry if these all seem really dumb

[LIZS]

1. It varies can be up to 5 times or based on affordability nd what is offered will depend on your status and security

2. No you can get 100% mortgages although you may find these less readily available as interest rates rise and the market slows.
3. You need to get quotes as it will vary considerably by area and cost of house. You have to pay for searches up front which can be a £100+ alone, the legal work involved, Stamp Duty on anything over £125k, Land Registry fee plus any cost associated with a mortgage such as arrangement fee, survey, insurance policies, removal costs etc It is impossible to give you a figure without more detail tbh, allow anything from a couple of thousand upwards.

[emsiewill]

Take a look at motley fool they are good at plain English guides to things like this.

Although you may have to pay an upfront fee, it may be worth your while going to an IFA (independent financial adviser) - they often have access to deals that the general public don't, also they generally have contacts within the lenders, and that can help smooth the path a bit. Look here to find one local to you (unless you live in South East Wales, in which case CAT me!)

[teafortwoandtwofortea]

I'd budget £1300 ish for solicitors fees + your deposit. If you need movers then it depends on how much stuff you have, we were quoted £500 for a 2 bed terrace full of belongings. For first time buyers you can generally get one homebuyers survey included with your mortgage, or you may have to pay up front and then they'll refund you. You can also generally opt to have the fees added to your mortgage amount (though obvioulsy that will reduce the amount you can spend on the property).

If you go on various building society websites they sometimes have calculators where you can put your slary in and they'll tell you how much you can borrow based on your earnings and deposit. I think 100% motgages are rare now unless you're a graduate (in which case scottish widows do one) and as a minimum you'll need 5%.