Can You Afford It?: Marchwood Gate, Chichester

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The Independent Online

Price: £295,000 Newcastle

Agent: Cluttons (01243 523722)

What you get: A 999-year leasehold on a modern, three-bedroom apartment with a substantial balcony, located within a private complex that boasts an impressive array of amenities, including a swimming pool, tennis courts, private gardens and parking.

Where: The estate, which backs on to rolling countryside, is on the fringes of Chichester, but within three miles of the city's centre. The nearby Goodwood Estate provides excellent entertainment in the form of golf, and horse and motor racing. Chichester is a commutable distance from London, which can be reached by train in 90 minutes.

How much will I be able to borrow? The following quotes from the Newcastle Building Society are based on a 25-year fixed term. Both require a minimum deposit of 25 per cent, or £73,750, and a reservation fee of £99, leaving a balance of £221,250 remaining. There is a £1,499 completion fee payable with the first option, and a £999 fee with second. It is advisable to pay these with the initial deposit so you don't incur any added interest. There is a free valuation with both options.

Two-year fixed rate: The interest rate is fixed at 5.95 per cent, meaning monthly payments will be £1418.76, or £1097.03 interest only, until September 2010. After which it will revert to Standard Variable Rate (SVR), currently 7.22 per cent, and payments will increase to £1,583.67, or £1,331.19 interest only.

Offset mortgage: This option tracks at 1.30 per cent above the Bank of England's Base Rate (BBR), currently 5.0 per cent, for the duration of the term. At today's BBR, the interest rate will be 6.3 per cent meaning repayments will be £1,466.36, or £1,161.56 interest only. You are free to withdraw from this mortgage at any time, at no extra charge, if for example the BBR became to high.

Council tax: Band F, £1,923.93

Stamp duty: 3 per cent

Legal costs to include land registry and search fees: from £1,500

Information correct at the time of printing. Quotes subject to status

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