First time buyer

Here is Katie, senior mortgage adviser discusses mortgage affordability criteria and how a mortgage lender will base the size of your mortgage on your income.

We have recently seen an increase in the number of people buying homes together, even though they are not married. If you are one of these people, here are a few tips to consider.

Of course, buying your dream home means, by definition, that your heart is driving this at least as much as your head. You need to suppress your desires and keep a cool head. Don’t allow the day dreams and wishes to cloud your judgement.

Buying your first property can seem complicated but if you understand the process you can save time and money. Here is a brief guide to the process of buying your new home.

An Income Multiplier is the number by which a mortgage lender will multiply your sole or joint incomes when calculating the maximum amount they are prepared to lend to you.

A Guarantor Mortgage allows a third party (maybe your parents) to underwrite your mortgage repayments and obligations. But why would you want that?

The Mortgage lender will require an independent valuation of the property to make a decision to lend.

Most of us need a mortgage to buy our next home so how much you can realistically expect to be able to borrow is critical to the process.

A Mortgage Agreement in Principal usually last between 60 days and 90 days so it’s important that you don’t apply too soon - or too late.

Mortgages are usually repaid over a considerable period of time, perhaps 15 - 30 years and whilst many mortgages are ‘repayment mortgages’, some are ‘interest-only’.

It can be a mind field when you are buying a new home, especially if it’s in an area you don’t know well. Here is our list of things to consider when buying your next home.

Paying off your mortgage faster might be desirable for a variety of reasons but whatever your reasons there are a few facts worth considering.

Most mortgage lenders want to see a deposit of 10% and even after help from the Government, it’s likely that you will need to scrape together yourself a deposit of 5% if you are to borrow at a reasonably competitive rate.

Buying your home is probably the most expensive asset you’ll buy in your life. It’s therefore important that you get it right.

A mortgage in principle is an initial mortgage offer made by a lender to a borrower. The offer is conditional upon checks and other criteria (including an acceptable mortgage valuation) but it has several benefits for the borrower.

Some buyers will decide to obtain an RICS Survey Report which generally covers a rudimentary report on the fabric of the property.

A mortgage lender will look at several things when deciding how much you can borrow. They are...

Mortgage rates remain low but with first-time buyers now regularly in their thirties and older, the monthly cost of borrowing is still sometimes relatively high. This is because most mortgage lenders will not extend a loan past a borrower’s retirement age.

Mortgage Lending Criteria vary from lender to lender and they change fairly regularly. Set by the lender’s underwriters, the criteria are decided upon as part of the lender’s risk management of their entire ‘lending book’s’ portfolio.

There is little that can be done to speed up the process and, frankly, you should not want to do so. However, there are some simple things you can do to help smooth the process.

When most people now buy a new home, the Government recently introduced relief for first time buyers purchasing a home on or after 22 November 2017.

A mortgage broker is an intermediary whose primary function is to advise his client on the mortgage best suited to his or her individual circumstance and specific needs.

In today’s lending market there are a large variety of mortgage types. For the purposes of this article, we’re looking simply at repayment and interest-only mortgages.

A Homebuyer’s Report is one of several different types of report that can be purchased by the buyer of a property.

A Mortgage in Principle is something we recommend. It certainly helps strengthen a buyer’s position when they are making an offer on a property. So what is a Mortgage in Principle?