We have just sold our house, and just bought a house. (offer has been accepted.)
I phoned my mortgage co. up and told her how much we were selling our house for, how much we were paying for the new one, and a deposit we had to put down. I told her to put in a email how much we were going to be paying each month. it was just over 1000. I thought that cannot be right. I know it was just for 20 years. I dont think she had taken into consideration, the price we were selling our house for and what we had paid for it.
as we had calculated paying £600. ish. a month. which makes it a mortgage of about 93k.
am I right in the difference between what we paid for our house and selling.
It got me really confused. I really hope she is not right???

As a guide we have a Mortgage at that amount but at around 25years and are paying what you hope to. I think you'll be looking at arond £700. Put your figures into one of the various banks web sites and work it out.

Hi Beth29- try this mortgage calculator: http://www.channel4.com/4money/mortgages/payments_calculator.html

the amount of your deposit is usually the amount of equity you have left from your sale. Remember to factor in stamp duty and solicitor costs though, as you may need to keep some of your equity back to pay for this.

Here's an example to help explain:-

Selling for £100k with £50k mortgage. leaving £50k equity once mortgage is paid off from sale.
With stamp duty and solicitors costs you may need to keep back about £5k from your equity.
Therefore the deposit left is £45k
If the purchase price for the new house is £150k, then you will need a mortgage of £105k

If you're still unsure PM me. I work for the halifax and may be able to sort out a competitive mortgage for you.