How much can you borrow - and on what?

Required Reading


  


How much can you borrow - and on what?


The most important -and probably the first -question that any house-buyer is going to ask is 'How much can I borrow?' The answer generally depends on two criteria. The lender will be looking firstly at your ability to repay the loan. But he will also be looking at the property that is going to act as security for your loan to see whether it is adequate or not. The most that you will be able to borrow is likely to be the lower of the figures arrived at through use of these two guidelines.

It is not possible to give detailed information on the lending policy of all the building societies or other potential lenders, firstly because there are so many of them (there are more than 200 building societies, for a start!) and secondly because lending policies change from time to time, according to the availability of funds.

Most building societies have general guidelines at any one time as to what they will lend, but, even so, the individual branch managers often have a great deal of discretion.

This section will give you some idea of the sort of amount you are likely to be able to borrow, but, as we noted earlier, it's no substitute for going along and asking yourself.


More on 5 mortgages

Mortgage providers - Local authorities and Key worker loans


You may have luck with obtaining a mortgage from your local authority, particularly if you are buying an older, cheaper property which the building societies have turned down.

The drawback to this route is that local authority funds are often in short supply. In the first nine months of 2012, for example, local authorities in the United Kingdom advanced a total of 1791 million the vast majority of this went to sitting tenants of council houses. In England and Wales alone they accounted for 1764 million of that overall total. If you were not a council house tenant, therefore, your chances of getting a mortgage from the council would have been pretty slim.

Unless you have particularly good reasons for choosing that older property, my feeling . . .... see: Mortgage providers - Local authorities and Key worker loans


Current Mortgage Offers

  • At Commercialise Yourself you can compare mortgages using our repayment calculator, look for special offers for first time buyers or for 95% loan to value mortgages and see the most popular choices, Nationwide, Accord etc, we now even have a buy to let section for the brave or heart or strong of pocket! You can send us an email if you want to know more about mortgages and what we do and we will get back to you as soon as we are able. offers@commercialise.org.uk

     

    Finding the right mortgage can be stressful, but we’re here to help you every step of the way.

    Even if you have no proof of income, poor credit rating or facing repossession of your home, we can normally say YES (even if the high street lenders have said NO)!

    Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage. The overall cost for comparison is 7.9% APR. The actual rate available will depend upon your circumstances. Ask for a personalised illustration. There will be a fee for mortgage advice. The precise amount will depend upon your circumstances but our average fee is 2.36% of the loan value. We are authorised and regulated by the Financial Services Authority for regulated mortgage and non-investment insurance contracts.