I am looking at a shared ownership property, 70% share for £113k in an area I love. I like the flat but it needs a tiny bit of work - new carpets and the kitchen could do with updating. The flat is 15 years old and has the original kitchen. Otherwise it's fine.
I have £7.5k deposit so far, but I've been told by one mortgage broker re a previous SO property I looked into, that I would need 15% deposit for SO, and 10% for non SO ie 100% purchase.
I was meant to meet the estate agent's broker last week but cancelled as I was unsure whether i would go ahead. I need to go for a second viewing in any case. Would it be worth me going through the finances with him/another broker first? I really would want to go up to the full purchase (£160k approx) within a couple of years. Current salary £28.5k so not sure whether this would be possible. I have credit card debts and a loan as below.
I'm not in a huge rush as the property has been on the market for about 9 months. I suspect because it is SO and there are so many ties with this. I couldn't afford in the area (Harpenden, Herts) unless I go for something like this, and few SO properties come up. My salary has been increasing 4% per year for the past few years. I'd be happy to keep saving and wait another 6 months or more, as I am saving around £600-700 per month at present. But even then i am unlikely to get a mortgage above £120 so it seems this may be my best way forward. I know lots of people don't like SO and I have my doubts; just that this is a large share and I wonder whether I could get up to 100% ownership..just hard for me to think through as i know it depends on lenders etc, but what is the likelihood? Thanks
I have £7.5k deposit so far, but I've been told by one mortgage broker re a previous SO property I looked into, that I would need 15% deposit for SO, and 10% for non SO ie 100% purchase.
I was meant to meet the estate agent's broker last week but cancelled as I was unsure whether i would go ahead. I need to go for a second viewing in any case. Would it be worth me going through the finances with him/another broker first? I really would want to go up to the full purchase (£160k approx) within a couple of years. Current salary £28.5k so not sure whether this would be possible. I have credit card debts and a loan as below.
I'm not in a huge rush as the property has been on the market for about 9 months. I suspect because it is SO and there are so many ties with this. I couldn't afford in the area (Harpenden, Herts) unless I go for something like this, and few SO properties come up. My salary has been increasing 4% per year for the past few years. I'd be happy to keep saving and wait another 6 months or more, as I am saving around £600-700 per month at present. But even then i am unlikely to get a mortgage above £120 so it seems this may be my best way forward. I know lots of people don't like SO and I have my doubts; just that this is a large share and I wonder whether I could get up to 100% ownership..just hard for me to think through as i know it depends on lenders etc, but what is the likelihood? Thanks