Posted on 30 January 2011 by Gerrie smith
I am first time buyer. The area I want to purchase in is Northern Ireland. I have saved £10000 towards the deposit but is this enough? Who is the cheapest lender and what monthly payments would I need to pay back? I earn around £13000 a year before tax deductions. Please advice asap! Thanks
I have researched the property market in Northern Ireland and found 1 and 2 bed flats, even 3 bed houses up for sale at less than £45,000. Obviously this depends on location and I do not know where in Northern Ireland you are looking to buy.
Given these prices, the deposit you have saved and your annual income it should be possible to raise a mortgage, subject to the property being suitable security. All Lenders will carry out a valuation for mortgage purposes to make sure of this before agreeing to lend any money.
As to who is the cheapest Lender, this is not an easy question to answer. The cheapest in terms of on going monthly payments may have the highest set up fees and vice versa. It will also depend on whether you want a Fixed or Variable rate and how long the initial offer period is. As a rule Tracker rates are currently cheaper than Fixed rates but this may change at any time in the future when Bank Base rate starts rising again.
I recommend that you speak to a independent mortgage broker. They will want to carry out a detailed factfind with you to find out your personal circumstances and attitude towards financial risk before recommending the most suitable mortgage deal for you.
Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.
We recommend you seek professional advice with regard to any of these topics where appropriate.