I am adressing this to UK residents.
- How does one go through buying a house (with mortgage of course)?
- What percentage is required to get a mortgage in buying a house and are there any rules against re-mortgage?

Please every response and help would be appreciated.

DEAR AWOLUMATE
u must have legal stay in the UK or you are ready to pay more.Some banks require 5%deposit of the flat.This is a wise thing to do.See website of major banks in the UK dealing with mortage especially
ABBEY BANK
NATIONWIDE
HSBC
BEST OF LUCK

Thanks.Your response is highly appreciated.but i dey dissapointed say uk Nairalanders no show face.

ok, I'm a UK Nairaland. U av to be livin in Uk to be able to possess a Property because of the mortgage. U also have to earn certain amount of money every money.
But if u are EU citizen, it's possible to buy a house
To uy a house in UK,

U nid to pay 10% of the original price to ur bank n after wards, ur bank will work the remaining balance (money )wiv u and u will be paying it monthly. Every house in UK must have Home insurance.

What info do u ni?

Sum ppl buy properties in Uk and they do not live here. Lawyers help them, cuz i know sum international students that their parents have houses in Uk lol.

ok be specific

i bought my first home last year. Mortgage of course. I paid 10% deposit. My mortgage was worked through Halifax Bank. It is very lucrative if you must know , and you have to keep your eye on the trends in different areas. I would suggest if you wanted to make money, start by buying at auctions , do the house or flat up to reasonable taste and standard sell off and buy another. Depends on where u want to buy. many places in London are sky high inprice, areas that are up and coming are South west and North east.

some are 0%mortgage but be prepared to pay a huge monthly mortgage. some schemes allow shared ownership, you pay say 40% of the amount and the govt pays the other amount, shop around see what suits you and why you want it. For me i wanted my own home and a possible investment for the future, so when i get married i have this property as an income generator

Why do u ask about re-mortgage if you havent bought a property yet? do you want to buy to let, buy for yourself or buy to invest?

@Funketobi.
Thanks for your Info.I actually dont live in UK but living within EU and interested in buying a house in UK .Hence my need for informations expecially on the Mortgage procedures.
Your Input mean a lot.
Gratie as we say Thanks in Italian.


[center]@Eurphoria.
I am sure you are in the best situation to Advice and put me through based on your experience.My main objective is to buy, through mortgage of course, Renovate it and let it out for about a year or two,With the aim of offsetting the monthly mortgage payments through the rents and put the House out for sale after .
I am into Automobiles and some Chinese products from China and Europe to Nigeria but its been very discouraging doing business with Nigeria,After much thoughts and findings,decided to go into real estates as they never depreciate and possess little or no risk.
Kindly please give the best advice to my situation.Just want to buy,renovate,rent it out for few years and put it up for sale .Intend doing that way for sometime until i am able to buy outright cash down.
Your best advices would be appreciated a lot.
Note, Live out of Uk but permanent resident of EU.[/center]

What area in the Uk are you looking for

London and anywhere in the south of england is the most expensive. House prices are rising by the mintue. There are many towns very close to london within travelling distance that are much cheaper to buy than actual london.

@Lady T.
My Idea is to buy,Renovate and rent it out to manage the Mortgage and sell it off after a while.Trying to do real Estate business full time.Please put in more advice on best steps to take.
You never can tell.I might be the next Donald Trump.

Eurphoria

How many bedrooms did you get?  What type of property.  I want to buy with my fiance.  The cost of rent is almost the same as a mortgage.  We could be able to put down a deposit of around £15,000 between us with extra money aside for the other costs.  But Im worried about all the extra costs that come with a new house like renovation.

It was suggested we buy a flat and rent it out.

Your advise is welcome

The hidden costs are amazing I didnt even know there was a thing such as stamp duty.

How do auctions work? Is it cash down?

@LadyT.
Only Eurphoria can respond if the Auctions are meant for Cash down or could be Mortgage.I know they might have some Hidden cost.One gotta becareful and ask around for Info before stepping In .
Euphoria please respond.

Awo pls get in touch thru my YIM on my profile, say your NL nickname so i remember thanks.

Lady T
you guys need a little bit more money for your deposit( you know the average price is £250,000 right?). You need to look into the part ownership scheme, do you want to contact me on YIM its on my profile i will tell in full details how i went about getting my mortgage,
I got a two bed , like i said we can chat i more depth on YIM

Thanks I will contact you!

LadyT

You actually pay 1% stamp duty if the price of the property is more than 130k and less than 250k i think. Am not sure but i think u only pay stamp duty in london. Are u thinking of gettin a place in London ? If u are and u dont mind the area u can try South east london. Stamp duty are not paid in that area at the moment.

There are lots of hidden costs. u will need to pay solicitor fees, service charges and ground rent etc . so be prepared

Thanks thats why i calculated that with all the fees and possible cost of renovation which will run into thousands our deposit wont be huge. I think the idea of part ownership is our best bet.

I cant live in the south east too many nigerians!!!

I live in North London so I was looking there but even in areas like hackney cheapest is like £190,000 for a one bedroom hole!

While part ownership might look attractive it has a couple of downsides like

there are fewer properties available under shared ownership or there might be no properties with this in the area you wish

you most ask permission to make improvements to the house !!!

if you want to increase your share of the property you will have to pay another valuer fee !!!


honestly buying a house in london at this moment might not really be a smart move. The house prices are off the roof.
Some people have forecasted a possible drop this year or next year. You can consider gettin somewhere just outside london and build up value for a couple of years , sell it and get your dream home in london. That is what most first time buyers are doing these days

I am not in the property business but i know buy to let in the UK is a good idea if you have the capital to put down.

a lot of borrowers will ask for 15% for buy to let mortgage.some new developments eg fairview homes may offer to pay stamp duty or part of the deposit etc. a good mortgage broker may be able to get good mortgage deals from banks.

London is getting very expensive.the average property is now 350k.(on the news today).try manchester.

shared ownership with Sutherland housing in London helped us get onto the housing ladder 9yrs ago.we owned 60% of it.the down side was getting only 60% of the profit when we sold it  4yrs ago but it was enough for us to buy on the open market.

The whole housing thing is a mess. On top of this my mum is stressing us to start thinking about buliding in Nigeria!!!

Just a couple of things.

First off to Awolumate, as you are not an EU national and do not propose to buy the property with cash,
you may well have problems raising a UK mortgage. The banks expect to see a financial history, e.g work record,
where you have lived for the past three years. Even if you do obtain a mortgage there are lots of other things you will
have to take into account that may eat into your profits. For example, you may be liable to income tax, will you be letting out the property yourself or handing it over to an agent? If the latter then have you factored agent's fees into your overall costs? In addition
when letting there may be periods when you have no tenants, how will you cover the costs of your mortgage in such an eventuality?

To Lady T

The longer you put off buying a property the more difficult and expensive it becomes. You just have to bite the bullet at some point.
My advice to you when buying is
[list]

[/list]buy a house and not a flat if at all possible. Trust me you will not regret it. 
.Don't necessarily stick to an area you are familiar with, cast your net far and wide. So easy to do with the internet.
. Look to buy outside London, the suburbs. You get more for your money and I know transport may be a headache but you will cope.
. A friend of  mine moved from London to Swindon to pick up a very lovely property, he hasn't regretted it.
.If you don't want to renovate then look for new build properties. But remember such properties are often little bigger than shoe boxes,
  older properties have larger rooms.
. Always look at the property with an eye to the future. EG If we have kids where will they eat, is there room for a dining table, does the   property   have outside space for them to play etc?

Anyway good luck.

Hi guys

A friend in Nigeria who is thinking of relocating to the UK wanted to apply for a mortgage from Nigeria to which I told him it was a no-show. He then said some naija friends of his have found a way around the system whereby Nigerians at home could actually purchase properties through via mago-mago channels. I told him not to try it else he'll lose his money.

Back to the original question - the best alternative especially if you're worried about the deposit is to go for a new build. A lot of Nigerians (and myself) are looking towards the outer rings of London i.e. Kent as a suitable area to live and bring up one's family. The advantages of a buying a newly built property are many, however, space more often than not is sacrificed for maximum profit which is not the case when buying a old home. Developers would often pay the 5% deposit but watch out for hidden charges as well as upgrades for the property which can set you back more than you anticipated.

VOR:

Just a couple of things.

First off to Awolumate, as you are not an EU national and do not propose to buy the property with cash,
you may well have problems raising a UK mortgage. The banks expect to see a financial history, e.g work record,
where you have lived for the past three years. Even if you do obtain a mortgage there are lots of other things you will
have to take into account that may eat into your profits. For example, you may be liable to income tax, will you be letting out the property yourself or handing it over to an agent? If the latter then have you factored agent's fees into your overall costs? In addition
when letting there may be periods when you have no tenants, how will you cover the costs of your mortgage in such an eventuality?

To Lady T

The longer you put off buying a property the more difficult and expensive it becomes. You just have to bite the bullet at some point.
My advice to you when buying is
[list]

[/list]buy a house and not a flat if at all possible. Trust me you will not regret it.
.Don't necessarily stick to an area you are familiar with, cast your net far and wide. So easy to do with the internet.
. Look to buy outside London, the suburbs. You get more for your money and I know transport may be a headache but you will cope.
. A friend of mine moved from London to Swindon to pick up a very lovely property, he hasn't regretted it.
.If you don't want to renovate then look for new build properties. But remember such properties are often little bigger than shoe boxes,
older properties have larger rooms.
. Always look at the property with an eye to the future. EG If we have kids where will they eat, is there room for a dining table, does the property have outside space for them to play etc?

Anyway good luck.

Thanks for the advice!

Don't buy a house in the UK.If u think that price appreciation will go on endlessly ,u are having a laugh

Problem is rent is almost the same as paying a mortgage, so you might as well buy

LadyT:

Problem is rent is almost the same as paying a mortgage, so you might as well buy

Absolutely Lady T, I live in a four bedroom house which I bought in 1994.
My mortgage is £390p.m + £93:00pm endowment + £15:00 insurance pm.

Certainly in the beginning it is tough but in the long run it will be worth it.

VOR:

Absolutely Lady T, I live in a four bedroom house which I bought in 1994.
My mortgage is £390p.m + £93:00pm endowment + £15:00 insurance pm.

Certainly in the beginning it is tough but in the long run it will be worth it.

WOW thats a bloody good deal!

what area are you in? I know we would never find prices like that now!

That can't be in London.Up in Barwick,someone said he found a 3 bedroom house with garage,front lawn and back garden for £140,000

Obviously that is if u want to live in Barwick

Where the hell is Barwick?

Everyone seems to be moving to Kent and those kind of places. In a London girl I cant see myself doing that. But the housing market is so disgusting right now. Its something we have to think about.

I had to get a train going Darlington near the border with Scotland to get there.Honestly the place is fantastic,just that it is too cold

Oh no its one of those places where they wont sell gari! Thats too far out for me!

Very few blacks there but its quiet and I like a quiet life.

The London property market has gone crazy

If you  are looking to purchase a property in the UK but your are non resident you will find it diffcult getting a mortgage you'll have to put cash down. One way round it is to partner with someone you trust (and know very well)  split the cost 50-50 you bring cash and the other party takes out a mortgage for their share of the remainder.

In terms of good places to buy London would have been ideal but the prices are stupidly high, my advice is to steer clear of London unless you are buying a new build (off plan) and / or with huge discounts or incentives, instead of London try Kent - Dartford, Luton , Stevenage e.t.c houses are much cheaper just make sure its in an area where there is a demand (schools, transport links e.t.c).

If you are feeling adventurous you  can widen your search and move further up North where properties are much cheaper although rental income may not be fantastic.

Buy to Let is a medium to long term investment so be ready to have your money tied up while your investment increases in value, as an investor I tend not to buy in London because I believe London properties have hit the ceiling whereas in other areas they are still rising.


For those looking to get on the property ladder but cannot afford prices in London I would suggest purchasing a buy to let property up north within you means, let it out for a few years  and then re mortgage to raise more capital hopefully  you'll be able to purchase something closer to home in a few years time,

Did you see the broom cupboard they are selling for close to £200,000?

I cant understand where people get the money to pay these dumb prices.  And will the prices keep rising like this?