Mortgage Advice For First-time Buyers
As house prices are set to rise by 2% in 2017, the worry of whether you could be eligible for a mortgage is very understandable as there are a lot of boxes that need to be ticked first.
First of all, you must be over 18 years old to apply for a mortgage in the UK. If you have any queries surrounding age, it is best to have a chat with your mortgage provider. Having a good credit rating will stand you in good stead for getting a mortgage, so if you fail to have any credit history whatsoever, this could also, unfortunately, go against you.
Mortgage lenders look at how much you will be able to pay back, therefore will take into consideration your earnings against how much you are hoping to borrow. If you are applying for a joint mortgage, both yourself and your partner’s earnings will be taken into consideration. Any other income, such as self-employed income will also be considered as well as any other regular earnings that could help pay off your mortgage.
Mortgage lenders will also take a look at your outgoings to get a taste of your spending habits, such as any other loans that you are still repaying and lifestyle costs. For instance, this may include energy bills, gas and electric, childcare, food bills and even your phone and gym contracts. If you were previously a student and are still paying off your student loans, that will be another factor that lenders will take into consideration, so be aware of that.
If you are in need of a mortgage broker within the Bristol, Bath or London areas and would like further information on mortgages for first-time buyers, please contact us today to see how we can help you.