Looking to buy and need loads of advice

[aewwwenxt]

I'm 19yo and thinking about buying a house ideally before I'm 25. Have just had a child and both me and my partner need to learn to drive (or at least one of us) so it's going to be harder than if we already could drive and didn't have a baby I know.
I'm just looking at properties where I live and they're so expensive. My criteria is

• 4 bedrooms (at least 3 good sizes)

-garden -within walking distance of the town/a shop -spacious sitting room Is that too much to expect? The ones I like are £525-625k. There are cheaper ones in the area but because this would be a forever home I just don't think they're worth it. Obviously a lot can change in the next six years and prices could change drastically, but I'd like to start saving now and then I can fluctuate how much I need to put back each month if needed (and possible). I think these prices are very high but not sure? I'm by the sea in the south west if that makes a difference. And how much do you think I'd need to save to be able to get a mortgage? Or can anyone point me in the right direction of finding out about that kind of thing? What hidden costs are there when buying a house too? I know a survey needs to be done and I'm guessing I arrange that? And estate agent fees? Solicitor fees? Anything else? I'm so clueless but I don't have anyone I can ask about buying a house in real life.

If there are several houses of that size at that price than that is the price in your location. Consider broadening your search area.
25 is very young to be buying a ‘forever’ home. You have a child now, even if you have another you won’t need more than three bedrooms.
What are our job prospects? Are you likely to be earning more in the next few years? Your partner?
Save as much as you can. When the time comes you should get a mortgage broker. He/she will steer you to the right mortgage for you. You will need a 10% of the sale price to exchange, and you could get the rest as a mortgage but as mortgages are generally 4.5x your income you can figure out what you could borrow.
Costs to consider are lawyers fees (around £1500 now which will include searches), survey (if a house and not new build then a full structural at around £400+), mortgage fees, stamp duty (depends on price of house but these rules are likely to change over the next few years, but could be significant). Moving. Furniture or any work required. As a buyer you don’t pay the agent the seller does.
I don’t think prices will change dramatically. There are blips but the general direction is up. It is hard to project five to six years ahead but it’s a good plan to start saving now - the more you can put down the better the mortgage deal. There are also certain ISAs that you might look into that the government adds to to help buy your first home. Good luck!

Bets to see a mortgage advisor

To get a rough idea of how much you could borrow use the Halifax mortgage calculator. You'll need at least a 5% deposit but probably more if houses are looking that expensive in your area.

You'll have to pay stamp duty on a house at that cost.

If the house is 525k your stamp duty would be £16,500. If property was 625k.it would be £21,250

Then there is your mortgage valuation fee. Your survey fees. Your solicitor fees which will be a good few thousand.

It doesn't matter if your a first time buyer if the house is over 500k you still pay stamp duty as first time buyer

You are being quite ambitious. Are you both high earners? Most people start off with something smaller and cheaper and then move up the ladder as both the value of the property and their salaries increase.

We started with a one bed flat, then a 3 bed semi, then a 4 bed detached in a cheap area and then finally a 4 bed detached in a nice area.

You can search online to see how much mortgage you could get on your salaries and how what percentage deposit you will need, without needing to see a mortgage broker.

www.moneysavingexpert.com/mortgages/how-much-mortgage-borrowing/

www.moneysupermarket.com/mortgages/first-time-buyers/how-to-raise-a-deposit/

Would you be renting for the next 6 years? You might be better off buying a 1 or 2 bedroom flat, and building up some equity, rather than paying rent with no return on it.
Unless you have a very big deposit, you will need a joint income of £100k+ for a £525-625k house (max you can borrow is usually 4.75 times your joint income, but this may be reduced as you have a dependent child).

Unless at least one of you is Avery high earner I think you need to reduce your expectations - your forever home isn't usually your first purchase, certainly not at those prices. As a basic guide you can borrow 4x your income though it also has so be affordable

You are being very ambitious. We just bought our first house at 21 and have good incomes for our ages (combined 60k+) and had to struggle to buy a 3 bed end of terrace with a living room and kitchen dinner. You will also only be able to borrow a maximum or 5x your income plus deposit, so to get to your budget you would need a combined income of at least 100k for the cheaper end. Better to buy something small and then work up the ladder!

As others have said, unless you already have cash saved or are due to inherit money then the only way is to get a mortgage, which is just a special loan to buy a house, paid back over 25 years normally.

You normally can only borrow around 3 or 4 times your income, so for example if you and your oh each had an annual salary of £20K you would have a joint income of £40k. A rough guide to how much mortgage you may get on those salaries is £120-160K.

The bank won't lend you the full amount of the property, you need a deposit, normally 5-10% of what the property is being sold for. If you have more saved, you need less mortgage.

The mortgage lender also check how much your bills are, what you spend on childcare, food, debts to check you can afford the mortgage.

The average house price in the UK is something like £220K so the houses you mention are well outside the budget of many people.