First Time. Confused.

[ribano88]

Hello Everyone,

This is my first post on this forum so i apologise if i've put it in the wrong section.

A bit of background on me, im 21 years old and a trainee Architect. I have 12 thousand pounds cash to invest and i want to begin property developing. I am currently only on £11000 p/a.

In your opinion is it possible for me to secure a high percentage mortgage on a house while renovating or am i going to struggle?

I know i could ring around and find this out but i hate having no idea

Thanks in Advance

Adam

[Mortgage_Adviser]

You are going to struggle due to your income. If you are looking on purchasing a run down place for appox £50k it could work, but even at higher incomes you are unlikely to get more than 5 times your income, and that will be unlikely at your income level.

I just played around with an affordability calculator and the max loan, assuming a good credit history and no other debts (student loans ignored) for an income of £11k, came to £53k. There is no guarantee this would be available to you, but is probably around the most that would be feasible. Do remember that when you purchase a property there are up front costs as well that may eat into your deposit ie solicitors fees, valuation fees etc.

[TheeBroker]

It might be possible to purchase a small BTL property baed on Income There are lenders who will accept a minimum income of £10k You would however require a 25% Deposit

John