Mortgage/Right to Buy Question

[flow13]

Just a quickie really…
We finished our IVA August. We currently live in a council house. I was wondering, if we wanted to do the ‘Right to Buy’ how likely is it that we would be able to get a mortgage?
Houses in our street are selling for around £85000. Looking on our council’s website we would be valid to receive the maximum discount of £26000. So that would take a mortgage down to £59000.
I have a feeling we may need to wait a while.

[Broke of London]

We have a mortgage broker on the panel of experts now! His name is Ryan and he's had a bit of luck for a few posters so give him a shout. Good luck x

[kallis3]

He does seem to have done well for posters flow - you can find his details under the 'Ask a Question' link on the left hand side of the page.

[kat68]

i would have thought you would stand a fair chance, as soon as you buy you will have £26000 of equity. and are therefor less of a risk for the lender.

[flow13]

Another attractive thing is that there is no huge deposit (at least there wasn't last time we poke to someone a few years ago). x

[plasticdaft]

Sounds like a good way to jump onto the property ladder. Worth checking with the council what works are due to be done soon,you dont want to buy it only to find the rest of the street get a new roof or kitchen and bathroom next month!!!

Paul

[cindy.me]

Hi - my situation was virtually the same as yours. My IVA concluded in July 2010 and this past spring we started the process to buy our house. The value is £85k and we could buy it for £61k. I got a mortgage broker who had no trouble securing a mortgage from Northern Rock - 4.25% fixed for 5 years. I didn't apply for the mortgage until the 6 years were up.

Best of luck

[flow13]

Thank you for your replies.
Our area is due to have work done sometime in the next 2 years. However, we have been told that the work they will be doing will mean us losing bedroom space to accommodate our bathroom.
There are houses in our street that are owned, and some have altered their houses so that they haven't had to lose bedroom space. The issue is, we can't afford to lose space - we have a 2 bed house, but for half the week there are 5 people as my stepchildren stay (all in one room). So we are thinking if we could buy before they start decent homes (hopefully if we are lucky we would try and get some cashback, though I am not optimistic) we could then have our house done to what would suit us rather than the council. x

[plasticdaft]

Sounds like a plan Flow,have you thought about a tent for the stepkids??!!

Paul

[luluj]

I have given Ryan a heads up on the thread so hopefully he will respond shortly !

[kat68]

I hope you manage to get your mortgage, it sounds pro.mising. best of luck

[luluj]

Ryan has a family celebration today so may not be on the forum until tomorrow - will keep this bumped up to the top for him to see !

[flow13]

plasticdaft, I have considered a cardboard box for them! lol.
And I have threatened them with the loft if they don't behave, but they just don't take me seriousley (I have no idea why!). xx

[Ryan]

Hi Flow,
I would agree with the other post regarding checking your credit reports, this is the main issue i have found when trying to help others.
Once you have these, i would recommend you seek an Independent Broker who would be able to find the most suitable lender.
Please note, every lender has a different criteria when assessing people who have been in an IVA, the questions they ask regarding this differ so much.

If you would like to discuss your circumstances in more detail please get in touch via the 'Ask a question' section
Best of luck

[plasticdaft]

Ryan have more started asking the have you ever been in an IVA question than were asking it 5 years ago?

Paul