We know when buying your first home and finding a mortgage can be daunting.
With hundreds of lenders and thousands of products to choose from how do you know you are getting a mortgage that is right for you – the first time buyer. You may not even know the full mortgage process yet.
After all this is the largest debt to you are likely ever have and not something you should jump into. Have you thought about how to protect yourself and the debt.
There is a lot to take in and the low headline rate you have seen advertised might not be right for you. The first thing to consider is do I qualify for this mortgage? What documents does a lender or adviser need from you.
Lenders will assess more than just whether you can afford the mortgage each month, looking into personal requirements and future flexibility. Especially with unusual circumstances such as self-employed or contractor applications.
Use our jargon page for handy mortgage phrases.
If you are looking for a hand to help you through the process, liaising with estate agents, valuers and solicitors on your behalf whilst providing simple and professional advice then consider using us, a broker, to help support and make mortgaging your first home simpler.
Things to consider as a first time buyer:
– How much stamp duty will I pay? Stamp duty land tax is payable over £125’001, with different bands depending on the purchase price.
– How much can I borrow? Up to 95% of the purchase price but the rates become better once you have a deposit of over 15% and the best rates are available with a 40% deposit or more.
– How much does it cost to buy a house? Aside from the purchase price, you will need to consider: lenders fees, broker fees, valuation cost, solicitors fees and maybe a removal service.
Check out our other FAQ’s.