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fairygirl

Mortgages

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Yup, we can all see the official average stats, but sometimes it pays to look behind the averages & get a feel for what is really happening on the street. I therefore thought it would be interesting to find out, anecdotally, what sort of size mortgages recent FTBs or people who have recently traded up, are taking out?

If you know someone who has recently bought or moved (or if indeed it is you!), and you know their finances, etc, then please post as much as info as you know. Info which would be useful: age(s) of person, job(s) of person, whether buying 1st/2nd/3rd/etc rung property, purchase price of property, size of mortgage, if IO or repayment, when purchased, if have handout from parent/etc.

Look forward to reading your anecdotes!

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Yup, we can all see the official average stats, but sometimes it pays to look behind the averages & get a feel for what is really happening on the street. I therefore thought it would be interesting to find out, anecdotally, what sort of size mortgages recent FTBs or people who have recently traded up, are taking out?

If you know someone who has recently bought or moved (or if indeed it is you!), and you know their finances, etc, then please post as much as info as you know. Info which would be useful: age(s) of person, job(s) of person, whether buying 1st/2nd/3rd/etc rung property, purchase price of property, size of mortgage, if IO or repayment, when purchased, if have handout from parent/etc.

Look forward to reading your anecdotes!

I don't know if I should be replying as I took a rather unorthodox step onto the housing ladder. Unable to afford a property in our local area was living at home with parents. Have just undergone a rather complex legal process whereby I bought the house off parents at a slight undervalue; they have the right to live here for life and pay me £350 pm under the rent a room scheme. Not a scheme recommended for everyone and you do need to go through lawyers to get it watertight. But it works for us so there you go.

I took out a 60k mortgage to fund £120k purchase my salary being £18k per year repayments £340 pm being a repayment mortgage over 25 years.

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Colleague late 30's and his missus about 30, moved to second home. 50K down about 150K mortgage joint wages around 40K. He didn't even try a cheeky offer, which I suggested he should. Went straight in with near price offer. Ludicrous!

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Guest muttley

Yup, we can all see the official average stats, but sometimes it pays to look behind the averages & get a feel for what is really happening on the street. I therefore thought it would be interesting to find out, anecdotally, what sort of size mortgages recent FTBs or people who have recently traded up, are taking out?

If you know someone who has recently bought or moved (or if indeed it is you!), and you know their finances, etc, then please post as much as info as you know. Info which would be useful: age(s) of person, job(s) of person, whether buying 1st/2nd/3rd/etc rung property, purchase price of property, size of mortgage, if IO or repayment, when purchased, if have handout from parent/etc.

Look forward to reading your anecdotes!

There's an interesting and relevant thread on the "Classic" Forum. I hope you find it useful.

So What Was a FTB Place in Years Gone By

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There's an interesting and relevant thread on the "Classic" Forum. I hope you find it useful.

So What Was a FTB Place in Years Gone By

Thanks for pointing me there - a very interesting thread showing how hard it is for wannabe FTBs nowadays compared to yesteryear.

Does anyone also have info on people moving up from FTB properties to 2nd time homes? I think that could be a jump which a lot of people will also find very difficult at the moment. I have heard several friends talk about having mortgages of £200k or over. OK, they are typically earning quite good money, but still that is a heck of a lot of dosh! Is that usual nowadays? Does anyone know of anyone with that size mortgage as well - or larger? If so, what sort of salaries are they earning??

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Thanks for pointing me there - a very interesting thread showing how hard it is for wannabe FTBs nowadays compared to yesteryear.

Does anyone also have info on people moving up from FTB properties to 2nd time homes? I think that could be a jump which a lot of people will also find very difficult at the moment. I have heard several friends talk about having mortgages of £200k or over. OK, they are typically earning quite good money, but still that is a heck of a lot of dosh! Is that usual nowadays? Does anyone know of anyone with that size mortgage as well - or larger? If so, what sort of salaries are they earning??

And this research will be published where? :rolleyes:

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FTBs - Income 50K (both about 30), mortgage 135K, purchase price 135K (10 months ago)

Other [skewed] set, her FTB, him not (both about 30), income 250K, price 900K, mortgage 450K

[i'd ignore the last one !!, but it shows that huge mortgages can be affordable]

Or my old boss - income £1.1M, mortgage £2M give or take, house in France and house in UK purchase price about £3.2M together

Edited by Rachman

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And this research will be published where? :rolleyes:

Well, on these boards for us all to see, of course!

Perhaps I should have stated my reason for asking - I am looking to trade up (need more space for family & there is nothing suitable to rent) & am very nervous about how large a mortgage I am going to need if I do. I am very bearish, but am continually being told by all my family & friends that I am wrong. So I thought it would be interesting to see what sort of size mortgages people are taking on nowadays, in relation to their income/jobs/ages/etc, both as FTBs and when trading up. I can't seem to find those figures anywhere else, only the total mortgaged each month, which doesn't really help me. If I could have an idea of what sort of mortgages are typical, it would tell me whether I am right to be bearish. Hopefully that info would help other people too!

Some examples of friends I know:

1. couple, early 30s, earning c£50k jointly, mortgage of c£210k, ie 4.2 times

2. couple, mid 30s, earning c£50k jointly, mortgage of c£150k, ie 3 times

3. couple, mid 30s, earning c£50k jointly, mortgage of c£250k, ie 5 times

4. couple, early 30s, earning c£80k jointly, mortgage of c£250k, ie 3.1 times

Are these representative? Does anyone know others, who have bought/traded up recently, who have mortgage multiples of 5 times or higher?

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a few of the people i know well enough to talk money with:

couple, early 20's ftb, earning £30k combined, mortgage £120k so 4x

couple, mid-late 20's, earning £40k combined, mortgage £220k so 5.5x

single, late 20's ftb, earning £30k, mortgage £160k so 5.3x

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a few of the people i know well enough to talk money with:

couple, mid-late 20's, earning £40k combined, mortgage £220k so 5.5x

single, late 20's ftb, earning £30k, mortgage £160k so 5.3x

Jesus, they must have job security..... or balls of steel - I do hope they are repayment mortgages and they have something to fall back on../

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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