First Time Buyer
What’s the first step for a time buyer?
A first-time buyer may have several questions related to securing a first-time buyer mortgage. The “Mortgage Made Easy” mortgage advisers can answer all questions and guides to help you understand every step of the process, from searching mortgage options to moving into your new home. We aim to help you determine how much you could borrow, your mortgage payments, monthly payments and buildings transaction tax.
It would be sensible to get an agreement in principle before you start looking at properties. It will give you an idea of how much you can borrow, which can be conveyed to estate agents to show them that you are serious about buying a home. First-time buyer mortgages can be complicated, but our team is here to help you with your mortgage deal and help you buy your first residential property.
Additionally, knowing how much you can borrow as a first-time buyer will allow you to set a price range when viewing properties. As a result, you will not waste time looking at properties you are unlikely to get approved for. Placing a purchase price early on helps you work out repayment mortgage options and what types of property you can view. Our mortgage and protection advisers can help.
Joint Mortgage & Mortgage Payments
A mortgage is a loan specifically designed for real estate, there for whenever you want to buy property. The mortgage amount you will need depends on the property price. To determine what mortgage you are eligible for, you will need to go through a series of checks carried out by the federal housing administration. These checks include a credit report and your financial information. If you are in a lower financial situation than the mortgage adviser is looking for, you may need to pay a higher interest rate.
When looking for a mortgage, most lenders will make sure you have a stable and reliable income and a debt to income ratio of just over 50 and a good credit score. Similarly to any loan terms, you need to be in a position to pay the money back; this includes first-time buyer mortgages and renewals.
We recommend that when you have your mortgage agreed, make sure you use a knowledgeable real estate agent to get you a final quote on the property you want to buy; you should choose to take out private mortgage insurance; this makes sure you are covered.
Joint Mortgage & Mortgage Payments
A mortgage is a loan specifically designed for real estate, there for whenever you want to buy property. The mortgage amount you will need depends on the property price. To determine what mortgage you are eligible for, you will need to go through a series of checks carried out by the federal housing administration. These checks include a credit report and your financial information. If you are in a lower financial situation than the mortgage adviser is looking for, you may need to pay a higher interest rate.
When looking for a mortgage, most lenders will make sure you have a stable and reliable income and a debt to income ratio of just over 50 and a good credit score. Similarly to any loan terms, you need to be in a position to pay the money back; this includes first-time buyer mortgages and renewals.
We recommend that when you have your mortgage agreed, make sure you use a knowledgeable real estate agent to get you a final quote on the property you want to buy; you should choose to take out private mortgage insurance; this makes sure you are covered.
Book An Appointment With An Advisor Today
If you are looking for advice and guidance on mortgages and what it is you should be looking for, get in touch with our mortgage advisors to make an appointment today. We will help you in any way we can.
Stamp duty for first-time buyers
Stamp Duty Land Tax are taxes you will have to pay when you are buying either property or land that holds a certain value, this is determined through valuation fees. The amount of stamp duty you need will depend on the value of the property you buy, land registry fees do change across England, Northern Ireland, Scotland and Wales, so it depends where you are based as to how much it will state you need to pay on your mortgage application.
During the Coronavirus Pandemic of 2020, the Government initiated a stamp duties holiday to boost the property market. The new tax relief is now terminated in Scotland and Wales and will be subject to normal quotas and thresholds. Make sure you keep this in mind when you are looking at stamp duty holiday rates, your mortgage deed and also your mortgage promise.
What’s The First Steps To Buying Your First Home?
Step by step guide to the buying process
- Book an appointment with a mortgage broker
- You need to know how much you can afford, you do this by contacting a mortgage broker, a broker will be able to tell you exactly how much you can afford based on your salary.
- Get an agreement in Principle
- Your broker will provide you with this important document, estate agents will take you seriously if they know you have an agreement in principle from a lender.
- Once you have found your dream home, make an offer.
- Inform your broker that your offer has been excepted
Your broker will now complete a full mortgage application and instruct your valuation.
What’s The First Steps To Buying Your First Home?
Step by step guide to the buying process
- Book an appointment with a mortgage broker
- You need to know how much you can afford, you do this by contacting a mortgage broker, a broker will be able to tell you exactly how much you can afford based on your salary.
- Get an agreement in Principle
- Your broker will provide you with this important document, estate agents will take you seriously if they know you have an agreement in principle from a lender.
- Once you have found your dream home, make an offer.
- Inform your broker that your offer has been excepted
Your broker will now complete a full mortgage application and instruct your valuation.
What Documents Will I Need To Have To Hand?
When you have your first visit with your broker, make sure you bring the following documents to the meeting.
- Passport
- Proof of deposit
- Proof of address
- Last 3 months bank statements
- Last 3 months payslips
- Last 2 years SA302’s and tax overviews if self-employed
Avoid These Common First Time Mortgage Mistakes
Buying a home for the first time is a landmark decision in any person’s life. Because of this, most buyers tend to make a number of mistakes that end up prolonging the process and costing them too much.
Here’s what you need to avoid.
- Considering one lender only.
- Buying beyond your budget.
- Searching for homes before a mortgage application.
- Prioritising house over the neighbourhood.
- Spending all your savings.
- Not being careful enough with credit.
- Overlooking hidden costs of homeownership
Avoid These Common First Time Mortgage Mistakes
Buying a home for the first time is a landmark decision in any person’s life. Because of this, most buyers tend to make a number of mistakes that end up prolonging the process and costing them too much.
Here’s what you need to avoid.
- Considering one lender only.
- Buying beyond your budget.
- Searching for homes before a mortgage application.
- Prioritising house over the neighbourhood.
- Spending all your savings.
- Not being careful enough with credit.
- Overlooking hidden costs of homeownership
Top First Time Buyer Deposit Tips
Saving up for a deposit is necessary before you start searching for a mortgage. If you are not sure how much you need to save for a home loan.
The greater your
deposit, the less money you will have to borrow as a mortgage. More importantly, you will get access to attractive interest rates if you put down a big deposit. On the other hand, the number of mortgages open to you may be limited if you have a small deposit.
The encouraging news is that first-time buyers will now have access to a larger selection of mortgages that only require a 5% deposit. In April 2021, a government initiative to bring back 95 per cent mortgages was set to go live, with major banks practically compelled to participate.
The program, which was unveiled in the March 2021 budget, enabling banks and building societies to purchase a guarantee on the riskiest part of a mortgage – the portion between 80 and 95 per cent loan-to-value (LTV). If a house was to be repossessed due to a property crash, the government would pay for that portion of the lender’s losses.
Make An Appointment Today
With all the things that you need to think about along with mortgage products, lenders, rates, fees. later on—it’s a full-time task that can get taxing even for the best of you. Our job is here to help get you everything you need together so you are ready to receive a mortgage offer. If you would like our help please get in touch with our team of mortgage advisers today. Book an appointment now!
Our team can help you with buy to let mortgages, remortgaging and life cover. Get in touch today.
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