Getting a mortgage

 Aside from holding up the cashier at your bank and demanding that they hand over the money in used fivers you are undoubtedly going to need a mortgage.

Assuming that you have sold the matrimonial home and divided up the assets then you may have enough for a deposit on a new home. How much you can borrow will vary but generally speaking you should be able to borrow three and a half times your annual salary.  In the boom times this rose to five times your salary.  The credit crunch and the deepening economic recession have made mortgages extremely scarce.  Falling house prices only make the selling and post divorce buying of property even more difficult.  It is a good idea to seek the advice of an  Independent Financial Financial Adviser (IFA) to guide you through these turbulent times.

Most lenders will loan up to 75% of the value but gone are the days when it was possible to borrow up to 90% or even 95% of the value of the property. The recent near collapse of the credit market has made lenders not only lend less as a percentage of the value of the property but also tighten their lending criteria.

IFAs
If you wish you can use an IFA (Independent Financial Adviser) to help you find the right mortgage. An IFA will have access to all available products and can shop around for the best deals. You will have to pay them for their advice but in these difficult times professional advice could make all the difference.

Remember that you should only borrow as much as you can reasonably afford to repay and to plan for future changes such as losing your job and the inevitable rises in interest rates.

FSA
The FSA (Financial Services Authority) is an independent non-governmental body which is funded by the firms it regulates. It provides information for companies and consumers on financial products and services.

Remember that if you do not keep up payments on your mortgage or other loan secured upon your home it may be repossessed.