Trading up 2019

simpson80

Hi there.
Me and my wife are thinking about trading up in 2019.
We bought our home in 2015 for 51k and have renovated and done as much as we could to make it a lovely but small home.
We have a 2 month old baby and we have realized fairly quickly that it is going to be quite cramped so we are going to get the ball rolling on trading up and to be prepared when we want to grow our family.
Our house is valued at 150k at the moment and there is 46k owed on mortgage.
My question is this, would the banks be willing to lend to us at this stage? Our combined salaries are 75k and there are some small loans (10k) that could be paid off from house sale if needed.
The approx amount required would be 200-220k.
My account is used for most of the bills and big payments so it may not look like a massive balance at any given time but my wife’s account is what we save with/keep most of our money in.
Just looking for your thoughts please on how best to get our ducks in a row for what lies ahead.
I will be talking to the broker that got us our previous mortgage in the new year.
Also my wife will be on maternity leave until May, although it will probably be after this when we get going.

catrionanic

You would have a large deposit for the house from the equity in your own, and you aren't looking to borrow too much relative to your salaries, so you should be good candidates.

The big But is the loans that you have. I would use your savings to clear those before applying for a mortgage.

punisher5112

Look into credit union, they are doing mortgages now.

Try them all of course and just remember you will obviously have to have 20% which you will have and plenty extra with sale.

You can change banks after 12 months to avail of cash back and better interest rates also.

simpson80

catrionanic wrote: »

You would have a large deposit for the house from the equity in your own, and you aren't looking to borrow too much relative to your salaries, so you should be good candidates.

The big But is the loans that you have. I would use your savings to clear those before applying for a mortgage.

Yes I kind of figured this would have to be a priority before applying. Thanks very much

simpson80

punisher5112 wrote: »

Look into credit union, they are doing mortgages now.

Try them all of course and just remember you will obviously have to have 20% which you will have and plenty extra with sale.

You can change banks after 12 months to avail of cash back and better interest rates also.

I hadn’t thought of approaching the credit union. Would you need to be a regular saver with them to get approval?

didka

I went in EBS branch to have a chat about out numbers this year. They had someone to talk to me immediately but I am sure other banks have the option. She went over our current numbers and what we need in order to get approval for upgrade/higher mortgage.

I think I put few numbers on ulsterbank website too and someone called me for chat.

simpson80

didka wrote: »

I went in EBS branch to have a chat about out numbers this year. They had someone to talk to me immediately but I am sure other banks have the option. She went over our current numbers and what we need in order to get approval for upgrade/higher mortgage.

I think I put few numbers on ulsterbank website too and someone called me for chat.

Thanks very much. I think I may try some banks myself. I used a broker the last time.