Background
Married couple, one child. Early 30’s.
Purchased own home with cash savings in 2015 for 110k. Now worth approx 210k.
He works full time, she works part time. No childcare costs.
He is in current role 2 years, she is in current role 10 months. Maternity leave in 2017.
Combined income: 45400 plus bonus 20k but understand this isn’t guaranteed so cannot be used.
Have been paying 500 per month to repay a loan to parents for the last 3 years. This is now paid in full. Finished repaying 300 per month on a 3 year car loan last September.
Both have healthy current accounts.
But- no regular savings - save on a monthly basis but no set amount just keep current accounts.
Looking at moving to a bigger place we have fallen in love with and time is of the essence. It is not something we planned for as we had been very comfortable with our current set up but it’s sort of just happened!
From what I can see, there are three options.
Option 1 - sell current house and will need approx 60k mortgage after the sale of our own house. This is provided we sell our house within the time frame necessary to secure the other house.
Option 2 - keep our current house as investment and use gift from parents to purchase another property. Would need mortgage of approx 160k in this scenario.
Option 3 - as per option 2 but leave current house on the market and pay off mortgage using the proceeds of the sale. We would not rent the house out in the scenario.
What options do we have seeing as we own the current house outright? Is there a way of keeping the two houses on our current incomes? Can lenders use maternity leave as a reason not to offer a mortgage if one is in current role less than 12 months? Will the car loan and personal loan being paid back recently help towards our affordability criteria?
Opinions welcome.
Thanks for reading!
Married couple, one child. Early 30’s.
Purchased own home with cash savings in 2015 for 110k. Now worth approx 210k.
He works full time, she works part time. No childcare costs.
He is in current role 2 years, she is in current role 10 months. Maternity leave in 2017.
Combined income: 45400 plus bonus 20k but understand this isn’t guaranteed so cannot be used.
Have been paying 500 per month to repay a loan to parents for the last 3 years. This is now paid in full. Finished repaying 300 per month on a 3 year car loan last September.
Both have healthy current accounts.
But- no regular savings - save on a monthly basis but no set amount just keep current accounts.
Looking at moving to a bigger place we have fallen in love with and time is of the essence. It is not something we planned for as we had been very comfortable with our current set up but it’s sort of just happened!
From what I can see, there are three options.
Option 1 - sell current house and will need approx 60k mortgage after the sale of our own house. This is provided we sell our house within the time frame necessary to secure the other house.
Option 2 - keep our current house as investment and use gift from parents to purchase another property. Would need mortgage of approx 160k in this scenario.
Option 3 - as per option 2 but leave current house on the market and pay off mortgage using the proceeds of the sale. We would not rent the house out in the scenario.
What options do we have seeing as we own the current house outright? Is there a way of keeping the two houses on our current incomes? Can lenders use maternity leave as a reason not to offer a mortgage if one is in current role less than 12 months? Will the car loan and personal loan being paid back recently help towards our affordability criteria?
Opinions welcome.
Thanks for reading!