Housies; The Future; fear

[kingandy]

Bah.

Apparently the woman who owns the house next to samharber's is demanding an exhorbitant price (twice what Sam and Nook, also in the same street, paid - and it's been on the market for a good while now) and will not budge. She is a fool. The fallout from this is that myself and Ms bacony will require somewhere to rest our heads come July. Anyone know any good letting agencies in Notlob? The plan is to move there and rent temporarily while I (a) build up capital and (b) find somewhere to buy... hard to arrange house viewings when you live the far side of Manchester.

In case anyone's interested, the crazy woman is asking £57K. I suspect I could get a mortgage for that on my salary - just about - but I think I'd want something a bit larger for that much. I know, housies are expensive these days, but it seems daft considering what other houses in that street went for.

It is still tempting though, if only somebody would sort out the administration... and give me a big pile of cash.

Comments

[kingandy]

Combined - 400pcm.

We couldn't really live together in that widdle house for very long though. Unless, um, maybe we could.

I don't know. I can't remember what Katy's last word on the subject was ...

[icklejo]

For examples sake I've used 57k. This minus 5% deposit would be 54150 which would work out at about £314/month (going off the Egg website mortgage calculator thingy). The full 57k would be about £331/month.

[kingandy]

Hmm ... I can probably afford that by myself. Easily if Katy decides to come along, I can charge her like 125pcm to sleep in the spare room...

(Though I don't think I can afford that and loan repayments unless I get a better job.)

[ghostbritain.livejournal.com]

Get a larger mortgage than you need (say buy a house for £50k and get a £57k mortgage) then spend the extra cash on furniture and the like.
Mortgages are so much cheaper than loans.

In fact you can get Current Account Mortgages that allow you to lump everything together, which as long as you're not a complete idiot means you can pay your mortgage back much earlier.

The minimum you can borrow is £50k, so it should be ok for you...

[kingandy]

Where would you suggest getting such a thing from?

This is, in fact, the major stumbling block. I am paralysed by not having done anything remotely similar at any point in my life. Who does these things? Where do they live? Why doesn't all just magically appear in front of me? Etc, etc.

[arwel.livejournal.com]

Try Egg. They're great. No current account, but you can link a savings account to your mortgage and have that offset the balance.

[icklejo]

Get a mortgage for more than you're buying your house for? How's that possible? Banks will only lend you up to 95% of your property's value.

[kingandy]

Eh? What? What about that 100% mortgage you mentioned earlier?

Confusled!

[icklejo]

Sorry to confuse, regardless of 95% or 100% mortage, banks won't lend more than the value of the house (they have to be able to recoup what they've lent you if they reposess and sell it, so lending you more than it's worth isn't in their interest). Nook's suggestion would mean a 110% or so mortgage which I've never heard of unless they do it as some sort of bank employee perk but I haven't heard of it for us normal people.

[pkgem.livejournal.com]

You do realise that it is just so wrong having sensible financial advice coming from the mouth of a brownie?

However, Andy - listen to icklejo. She is wise beyond her years.

[arwel.livejournal.com]

It's ok, she got her financial advisor badge.