How to make our money stretch further
Hi everyone, looking for some advice as we’re feeling a bit overwhelmed financially.
My husband and I are hoping to buy our first home soon. The mortgage will be solely in my name and based on my income only. We’ve been staying with his family for the last few months while trying to save and get ourselves sorted.
A bit of background: my husband started a car business a few years ago alongside his full-time job. Unfortunately the business failed and he ended up taking on around £70k+ in debt trying to keep it afloat (loans and credit cards). The company has now closed.
At the moment, his salary mostly goes towards repaying debts, while mine has been focused on saving for the house and will cover most household costs once we move.
Our concern is how tight our monthly leftover income will be after buying.
Breakdown:
Husband
Salary: £48k
Monthly take-home: ~£2,900
Existing mortgage/bills contribution: £500
Loans/credit card repayments: ~£2,000
Left over monthly: ~£400
Me
Salary: £37k (going up to £39.4k in September)
Monthly take-home: ~£2,200
Expected mortgage: £950
Council tax: £160
Food/petrol/bills and water : ~£800
Left over monthly: ~£190
Combined, we’d only have around £590 left each month, which feels risky considering emergencies, house repairs, etc.
We do need to move out due to lack of space/current circumstances, but I’m wondering:
Are we overstretching ourselves?
What’s the best way to maximise what we have left over each month?
Is there anything we should look into regarding debt management or consolidation for his debts?
Has anyone been in a similar position before buying a house?
Any advice would really be appreciated
Edit: He has an elderly mum and disabled sister who live in the house he currently owns, space is small and limited so living there is not an option, nor can he sell.