A Mortgage Now - First Time Buyer Mortgage
We promise to give you the very best independent mortgage advice from qualified and highly experienced Advisers.
First Time Buyer mortgages |
| Are you a first time buyer? Buyers who do not currently own their own home are considered first time buyers by Lenders. There are a range of first time buyer mortgage products available specifically for these applicants. |
What should I consider as a first time buyer? |
| Budgeting should be your priority as a first time buyer. If you have not owned and maintained your own property before the incidental costs may come as a surprise to you. It therefore pays to be conservative with your maximum purchase price. Your deposit is also key, the higher the percentage of your deposit, the less the mortgage interest rate you will have to pay. You may want to consider a fixed rate mortgage. First time buyers can sometimes get additional benefits on a specialist product such as a free valuation. |
What should I consider as a first time buyer? |
|
Budgeting should be your priority as a first time buyer. If you have not owned and maintained your own property before the incidental costs may come as a surprise to you. It therefore pays to be conservative with your maximum purchase price.
Your deposit is also key, the higher the percentage of your deposit, the less the mortgage interest rate you will have to pay. You may want to consider a fixed rate mortgage.
First time buyers can sometimes get additional benefits on a specialist product such as a free valuation.
Independent mortgage advice is essential for a new buyer. The advantage of an experienced and guiding hand to assist you through the process cannot be overstated. In the purchasing process you will be dealing with a number of parties and circumstances that will be new to you. Your mortgage broker will be able to help you to push matters forward when the inevitable barriers are put in your way. They can also advise you on key issues such as insurance. |
Property and first time buyers? |
|
What is a good buy for you? Try to avoid jumping into the first property you see. A few days reflection and consideration of other options will pay dividends in the long term. How easy will your intended property be to sell on when you are ready to upscale? If the property has a low asking price there is probably a reason for it. Legal issues around leases and right of way are to be avoided. If your solicitor is showing concern, walk away. Make sure the property is standard type construction (brick, and tiled or slate roof). Properties of unusual construction such as those built from concrete are difficult to arrange mortgages on and to sell on. When a surveyor visits your intended property you should consider how in depth you want their report to be. A standard valuation for mortgage purposes will only inform the lender whether the property is suitable as security for a mortgage. There will be a simple two page report at best and you may not get a copy of it. To be sure that all major items of the property are reported on it full (roof, heating, electrics, plumbing), ask for a Homebuyer report. Although more expensive, these reports will give you piece of mind that no nasty repair bills are on the horizon. If the property is of unusual construction of of a significant age, or not in good repair, you should consider a full structural survey which provides a comprehensive itemised report on the condition of the property and recommendations for any necessary remedial work. |
First time buyers and protecting yourself |
| You will need an experienced and qualified person to handle the legal work involved in your purchase. Do not just go for the cheapest price you can get - unless you want a cheap service. A recommendation is a good start, perhaps from someone who is working with solicitors all the time (such as your mortgage broker). For an idea of legal costs click here |
