Second time buyers?? Need a bigger house!

[little_lady]

So I know a little O/T but I can't be bothered reading through all the jargon on the proper sites.

We have a first time mortgage on a two bedroom house. The second bedroom is quite small and would fit two babies only at a push. We'd like to TTC fairly soon and so I'm thinking about moving up to a three bedroom house.

My question is, I'm a SAHM at the moment, but I'm just starting off as a childminder and will therefore be self employed (hopefully) in the next few months. Do the same rules apply to second time buyers as to first: i.e. do the banks take into account joint income and 3 years of self employed accounts in order to lend you the extra money to get a bigger mortgage?

Hubby is on £25k at the mo, our mortgage is £670 p/m, and we can't really afford to move until I start bringing something in, but I'm confused as to what I need to be earning before we can look at moving.

Anyone shed any light on this?

 

[Button#]

Yes they do. We had a nightmare trying to get a second mortgage. I recommend C&G, they were really helpful and I think they only needed 18 months of accounts.

 

[sj22]

Hi, we got our second mortgage in March. Because I was on a temporary contract they wouldn't take my earnings into account at all, if it was permanent they would have looked at us as joint income.
If I was self employed they wanted to see 2 years worth of earnings and accounts before taking it into consideration. They were prepared to lend to us as selling our first house enabled us to have a deposit for next house - this made them more willing to lend to us and also it helped that we were existing customers.
x

 

[Mummy Bean]

I work for a bank and they are all diff. A few things to consider...most banks will need to see at least 18mnths of accounts if self employed and u want to be considered in the mortgage, how much have u paid of ur current mortgage and will u be able to make a profit on ur current home...if so u may not need such a large mortgage on ur second home and u maybe able to borrow the same if not less. Are u willing to compromise on othrr things such as getting a 3 bed in a worse area or with smaller living space. hopefully the bank wud be more favorable as u have proved that u have enough income to pay ur current mortgage but on the flio side were in another recession and banks are under a lot of preassure so rules are pretty strick.

I wud have to say if u cant make any money on ur current home and u will be self employed maybe look into extending ur own home...can u go into the roof space or out the back? Loans are easier to obtain then mortgages...crazy i know

I have seen that if u are already banking with that certain company ie barclays they are better at giving u deals.
maybe try and talk to a mortgage advisor...ofter they will have one in an estate agent who should be able to give u independant advice.