Finance: Can you afford it?

Click to follow
The Independent Online
Cliff-top apartment, pounds 325,000, Canford Cliffs Village, Poole, Dorset

Agent: Tailor Made, 01202 706006

What you get: Recently refurbished three-bedroom second-floor apartment in a residential block about 50 years' old and set amid well-maintained grounds, with private access to Branksome Chine. Large kitchen/living room leading to a south-facing balcony, shared with bedroom two. En-suite shower room to main bedroom, plus family bathroom. Single garage.

Where: Canford Cliffs Village, the gentile, now fashionable, resort, rivalling the much-hyped and neighbouring Sandbanks. The village boasts five bistros, leading banks, solicitors and, more recently, estate agents, keen to benefit from its renewed popularity and rising property prices. Roughly between Poole and Bournemouth, with their major shopping centres and rail/road links.

What will it cost to buy?

Quotes from the Woolwich 0845 607 1111

Minimum deposit (5%): pounds 16,250

Mortgage needed (95%): pounds 308,750

Joint income required (x3.25): pounds 95,000

Single income required (x4): pounds 77,000

Two-year fixed rate at 4.99% (early repayment charge 3% of the balance for fixed-rate period)

Monthly payments for fixed-rate period of pounds 1,283.89 (interest only); pounds 1,803.12 (repayment)

Discount mortgage of 1.6% off variable rate (initial rate 5.19%) for two years (early repayment charge 2% of the balance repaid for the two- year period)

Monthly payments of pounds 1,335.54 (interest only); pounds 1,839.26 (repayment)

Application fee: pounds 395

Valuation fee: pounds 365

Existing customers may get better deal

Other costs:

Service Charge: pounds 600 approx pa

Stamp duty: pounds 9,750

Council Tax: Band D, pounds 1,113.78

Legal costs to include land registry and search fees: about pounds 1,500-plus

Who will buy it? A couple perhaps working and living in London during the week and looking to making it their permanent residence on retirement. Beach- or boat-lovers of any age; paths lead directly from the grounds to award-winning Blue Flag beaches. People who can't afford Sandbanks but can still have access to the sandy peninsula and a share of the good life.

Potential: Not a glimpse of the sea from this apartment makes it a good pounds 60,000 cheaper than one with. However, the balcony is south-facing and the pervasive aroma of pine trees has a soporific (and, some say, healing) effect. Canford Cliffs has already seen a price explosion but there's still room to benefit from the Sandbanks ripple. Could use bedroom two as living room, especially with adjoining balcony. The spacious rooms will always be a selling point as will the share of freehold.

Information correct at time of printing. All quotes subject to status.