First Time Buyer Mortgage
Being a first time home buyer can be daunting, but it’s also an exciting step forward! Our experienced advisors are on hand to help you understand the mortgage process from start to finish.
From our first meeting until you move into your new home, we will always be there to make sure that your first step onto the property ladder is as stress free as possible.
Buying your first home is an exciting milestone, but it’s also a big financial commitment. Mortgages are one of the largest single transactions you are likely to make in your lifetime, and for that reason it’s important to make sure that you have accurate and reliable guidance throughout the entire process. We promise that we will be there every step of the way and, most importantly, we will never charge you for our services or try and rush you through the process – our priority is finding a first time buyer mortgage that is suited to you.
Before you make any mortgage commitment, we want to make sure you know and understand all of the information. There are always plenty of mortgage options, and we will ensure that you end up with the best overall deal that takes all factors into account. We will also help you make sure that even after you’ve moved in to your new home, you have protection in place to ensure your mortgage is paid should the worst happen. Even if you’re only considering options at this point, why not get in touch and let us help you make a clear plan for the future. We do not charge a broker fee so it’s worth making an appointment.
Our Mortgage Calculator is perfect for finding out how much you could borrow and what it will cost you per month. If you have any questions, just give us a call – it’s free!Find out what you can afford
First Time Buyer Mortgage Guide
Want a little more information? Our in-depth First Time Buyer Mortgage Guide is right here for you to download and tell you all you need to know about your first time mortgage.View our First Time Buyer Guide
“I have completed on my first house today. As a first time buyer Michelle & the team were endlessly patient, assisting me through the process & answering every question I came up with. They made the whole application the least stressful part of the process. Thank you all.”Zoe
1. What is a Mortgage?
A mortgage is a loan you take out and then secure against your property. You will make monthly repayments that are made up of capital and interest over a number of years until the mortgage is paid off. How much you pay each month depends on many different things, including how much you borrow, how many years you have to pay it off, and the interest rate.
2. First Time Buyer Schemes
There are many specific schemes to help first time home buyers onto the property ladder, including shared ownership or the government Help to Buy: Equity Loan scheme. Whether you are a first-time buyer with a small deposit or your parents are willing to help you out with their savings, our advisors can certainly recommend the best route to take depending on your circumstances.
A good credit file will allow you to get a better rate on your mortgage as you can select from a wider range of lenders. There are many ways to improve your credit, but if you’ve had credit issues our advisors may still be able to help and enable you to get a ‘mortgage in principle’ (also known as an ‘agreement in principle’ or ‘decision in principle’) to show estate agents that you’re serious about buying.
4. Knowing All the Costs
There are many different costs to owning a home, both before and after you take out your first-time buyer mortgage, including stamp duty (for properties over £300,000) and legal fees, as well as home insurance and the mortgage repayments themselves. Taking out protection cover will also ensure that your loved ones can still afford to stay in your home should you become ill, be unable to work or in the event of your death.
First Time Buyer Mortgage Help!
Do you have some questions about first time buyer mortgages? You might find the answer here, or in our in-depth First Time Buyer Mortgage Guide. For more information, call us for free.
How much do I need for my deposit?
You will need a minimum of 5% of the property purchase price as a deposit. Deposits can come from your own savings or be a gift from someone. The more deposit you have, the better your rate from a mortgage lender will be.
How much can I borrow?
This varies greatly depending on your circumstance - individual lenders use many factors to calculate your borrowing capacity. Use our calculator as a rough guide but call us for a more accurate figure.
Are there specific mortgages for first time home buyers?
Some lenders offer special incentives for first time home buyers such as cashback or preferential rates. We will include these in our search to ensure we find you the best deal.
What is an agreement in principle?
An agreement in principle (also known as a decision in principle, or a mortgage in principle) is a conditional offer from the mortgage lender that they will give you the loan that you have discussed with them, and can give you a competitive edge over other property buyers.
It is, however, still subject to full application and a suitable valuation on the property and is not a guarantee that a lender will lend.
What is a mortgage offer?
A mortgage offer is an official confirmation from a mortgage lender that they will provide you with a mortgage. It can only be received following full application, the submission of all necessary documents, and a satisfactory valuation of the property you are buying.
What risks should I be aware of?
Your mortgage is a loan secured against your home. If you fail to keep up the repayments the lender could take possession of your home. House prices can go down as well as up so this will affect the amount of equity you have in your home.
What documents do I need to apply for a mortgage?
You will need to provide us with proof of identification and current address. We will also need 3 months of bank statements (that demonstrate salary credits and other credit commitments), and 3 months of payslips, or if you’re self-employed, your last 2 years Tax Computations (previously known as SA302s) and corresponding Tax Year Overviews. Download our list in the Guides section.
Can I have a mortgage with a friend or family member?
Yes, you can. Some lenders will allow up to 4 people on a mortgage.
What insurance will I need?
No matter what mortgage deal you get, buildings insurance will be a condition of your lender. If you would also like contents cover for your home, we can help you to find the best buildings insurance policy that includes this too.
Life insurance is not a condition of your mortgage, but we advise that you seriously consider protecting your income and your dependants in case the worst should happen to ensure that your standard of living and mortgage payments are maintained.
What fees will I have to pay?
We promise that we will never charge a fee for our services, but some mortgage products can have fees attached. No fee mortgages are not always the best deal, and we will make sure that we advise you on the best deal to suit your circumstances. We will always take any extra costs into consideration when calculating what mortgage you can afford.
What tips can you give me when looking for a property?
Research, research, research….do your homework! Which houses have sold in the area? What are the schools like? How long does it take to get to work? Are you prepared to do any work to the property? Can you see yourself living there?
How long can I take a mortgage over?
The maximum term that you can take a mortgage over is 40 years, but this is dependent on your age and estimated retirement age. While some lenders will offer a mortgage up to the age of 75, they will only do so if you aren’t planning to retire until you are 75.
What happens at the end of my mortgage deal?
You will go onto the lenders standard variable rate. We will get in touch with you before your rate ends to make sure we find you the best deal available.
Will I need a solicitor?
Yes. You will need a solicitor to provide the conveyancing service. If you don’t already have a solicitor in mind, we are happy to recommend several local and reputable firms.
Do I need life insurance?
Life insurance is not a condition of your mortgage, but it is advisable to take out protection insurance to make sure you can stay in your home should you be unable to work, be diagnosed with a critical illness or to protect your loved ones in the event of your death. Our Protection Guide explains the different types of insurance in more detail.
We care as much about your home as you do
Let us help you find a mortgage that’s tailored to your life.