Another ' will I get a mortgage ' question.

Thespoofer

Hi, as the title states what do you think of our chances, so Killers1 if you are around.......:rolleyes:

At the moment we bought through shared ownership scheme in 2004, about 140k owed on this property ( now too small for family ) . I could rent it out in the morning as no chance of really selling covering most of the costs ,700/month (maybe 100 E per month needed by us ).

We would like to purchase a house up to the value of 200 k we can put down deposit of 70k ( our own money ( investments, etc ))

I was self employed for years until recently ( before Christmas )where I got a full time permanent ( construction based ) senior position on almost 40 k/ year.

My wife stays at home with our 2 children, no taxable income to show.

Since the new year we can save an average of 400 e/ week which we could not do , at all, before becoming a full time employee.

No other debts, tax clear and clean credit history.

What do ye guys think of our chances ( I have no time off really during office hours to go speak to a bank/broker ) ? And if we don't have any, what needs to be done to improve the situation ?
And finally, would a lender be flexible enough to allow me to rent out the shared ownership house as is, as we could keep chipping away at this ourselves.

Sincerely

Thespoof

PS. I believe we would still be classed technically as first time buyers, if that makes any difference. Cheers.

whippet

With two dependents they would probably want you to have in the region of €1.5K remaining each month after 'all bills' were paid including your existing mortgage commitments and after paying the new mortgage (stressing the interest rate to about 6%)

Most will not take the potential rental of your current place as 'income' but would just want to see that it would be rented out.

My advice to you would be to look at renting a new place while renting your own out. you don't need to buy a new place.

Thespoofer

Yes but what if we have come across a couple of 'possibilities' close to our own community where we would safely say we would never move from again, giving our kids a secure future family home, close to schools etc.

I have to say though I do find your comment ' you don't need to buy another place ' interesting, I never really thought about it from that angle. Thanks.

whippet

Thespoofer wrote: »

I have to say though I do find your comment ' you don't need to buy another place ' interesting, I never really thought about it from that angle. Thanks.

It is something worth thinking about ... don't automatically assume you 'have' to buy.

To give you an idea where I am at ... I bought in 2005, 3Bed Semi, starter home, never intended to stay there at all but fell in to the whole 'get on the ladder' stuff.

After our first child we realized that we needed to move to a) a larger place and b) somewhere where we would actually like our children to grow up.

In negative equity of course and we were willing to buy ourselves out from our savings. We didn't received as much as one offer on the house in 12 months and then baby number two was on it's way.

We decided to rent out the house and rent where we actually wanted to live (in the countryside) ... everything happened quickly (due to good rental demands) and we swapped our 3Bed Semi for a 4 Bed Detached over twice the size for the more or less the same price.

I still own my original property (despite negative equity) , have my savings and my net cash flow is more or less the same per month .. while having a much better standard of living.

engineermike

Thespoofer wrote: »

Hi, as the title states what do you think of our chances, so Killers1 if you are around.......:rolleyes:

At the moment we bought through shared ownership scheme in 2004, about 140k owed on this property ( now too small for family ) . I could rent it out in the morning as no chance of really selling covering most of the costs ,700/month (maybe 100 E per month needed by us ).

We would like to purchase a house up to the value of 200 k we can put down deposit of 70k ( our own money ( investments, etc ))

I was self employed for years until recently ( before Christmas )where I got a full time permanent ( construction based ) senior position on almost 40 k/ year.

My wife stays at home with our 2 children, no taxable income to show.

Since the new year we can save an average of 400 e/ week which we could not do , at all, before becoming a full time employee.

No other debts, tax clear and clean credit history.

What do ye guys think of our chances ( I have no time off really during office hours to go speak to a bank/broker ) ? And if we don't have any, what needs to be done to improve the situation ?
And finally, would a lender be flexible enough to allow me to rent out the shared ownership house as is, as we could keep chipping away at this ourselves.

Sincerely

Thespoof

PS. I believe we would still be classed technically as first time buyers, if that makes any difference. Cheers.

P/ M - http://www.boards.ie/vbulletin/member.php?u=143901

Killian, - a broker and very helpful chap from boards.ie , who will advise based on your financial situation -
mike f

killers1

Thespoofer wrote: »

Hi, as the title states what do you think of our chances, so Killers1 if you are around.......:rolleyes:

At the moment we bought through shared ownership scheme in 2004, about 140k owed on this property ( now too small for family ) . I could rent it out in the morning as no chance of really selling covering most of the costs ,700/month (maybe 100 E per month needed by us ).

We would like to purchase a house up to the value of 200 k we can put down deposit of 70k ( our own money ( investments, etc ))

I was self employed for years until recently ( before Christmas )where I got a full time permanent ( construction based ) senior position on almost 40 k/ year.

My wife stays at home with our 2 children, no taxable income to show.

Since the new year we can save an average of 400 e/ week which we could not do , at all, before becoming a full time employee.

No other debts, tax clear and clean credit history.

What do ye guys think of our chances ( I have no time off really during office hours to go speak to a bank/broker ) ? And if we don't have any, what needs to be done to improve the situation ?
And finally, would a lender be flexible enough to allow me to rent out the shared ownership house as is, as we could keep chipping away at this ourselves.

Sincerely

Thespoof

PS. I believe we would still be classed technically as first time buyers, if that makes any difference. Cheers.

Got your message & sent you a response...tks