You’ve made the big decision to buy a house and get on the property ladder, but where do you start? We’ve broken it down into five simple steps to help you get a first-time buyer mortgage.
1. Work out your budget
First things first: work out what you can afford and how much you’ll need to buy before you view houses.
The easiest way to do this is to speak to an expert mortgage adviser. They’ll explain how much you’re able to borrow based on factors such as how much you earn and the size of your deposit. Also, if you’ve got any questions, you’ve got an expert on hand too.
2. Don’t switch jobs
Are you planning to buy a home and thinking about moving jobs too? It’s a good idea to hold off switching jobs until you’ve got your mortgage sorted. Lenders want to see you have a regular, stable income from your employer before they’ll offer to lend to you.
3. Sort your debts
What if you’ve got debts? Well, when you apply for a mortgage, you’ll want to show the lender you’re good with managing money – so the last thing you’ll want them to see is that you’ve racked up huge amounts on credit cards or that you’ve got outstanding loans.
Try to reduce or clear these debts before you apply for a mortgage. It will help your application.
4. First time buyer deposits: Bigger is better
When you’re trying to get on the property ladder, it’s a good idea to save everything you can to make your deposit as big as possible. That’s because if you have a larger deposit, it’s likely that you’ll get access to a bigger range of mortgages and potentially better rates as well.
5. You’ll need to sort your paperwork
When you apply for a mortgage there’s paperwork you need to provide such as payslips and your P60 if you’re employed. It’s different if you’re self-employed because you’ll need to show things such as your accounts.. To help streamline the process find out what you’ll need and dig them out.
We can help
If you would like to find out more about first-time buyer mortgages, we have a team here ready and waiting to help you. Call 0151 305 7222 and our advisers will answer your questions and help find the right deal for you..