17 mortgage tips for first-time buyers

If you are a first-time buyer, you have never been through this process – the mortgage maze – before, and your head is probably full of questions and concerns. Here are brief answers to the questions we are most frequently asked by first-time buyers.

1) Is it the right time for us to buy a property?

We can analyse your personal situation and finances alongside you, and decide if it is viable for you to buy a property now.

2) How much can we borrow?

This is a crucial question, obviously. Every lender will offer different amounts in different ways, and it is only after detailed discussion about your current and future circumstances and plans that we can ascertain the most suitable lender.

3) How much can you afford to pay each month?

This can be different from what the lender is willing to offer. We can make sure that the payment is affordable for you now and in the future.

4) What type of mortgage is best for us?

Again, different lenders will offer different amounts via fixed rate, tracker rate, etc.. We can explain the relevant details and what it means to you.

5) How many years should we take the mortgage over?

We always recommend that the mortgage should be taken over the fewest number of years possible for your budget.

6) How do we know if lender will lend to us?

Before you find a property, we can get an agreement in principle from the lender to ensure that you have that peace of mind.

7) What type of property should we buy?

We can advise you on the pros and cons of different types of property, e.g., standard build houses, leasehold flats, concrete construction houses etc.

8) When we have an offer on a property accepted, what should we do?

We will arrange a meeting and take you through the application process for the mortgage and process the application along with all the supporting documents.

9) What documents will we need to provide?

We will tell you all of the potential documents we will need and supply these to the lender.

10) What type of valuation survey should we do?

You can have a very basic lender valuation up to a full building survey. We will explain the different type of surveys, so you have a good understanding of each one, and recommend the appropriate one for the property.

11) What does the solicitor do?

A solicitor needs to be employed for a property purchase and we will explain their role and their potential cost.

12) What fees will we need to pay?

This can vary depending on the lender, but we will explain the potential fees and costs, and make sure you have a good understanding of these before any application is submitted.

13) How long does it take before we get a mortgage offer?

The mortgage offer is the point at which the lender has agreed the mortgage and has produced a formal offer to the clients. This can vary between lenders and we will give you an initial idea and update this during the process. The average offer takes about 3 weeks.

14) When do we pay our first payment?

This is a popular question as lenders do not take a payment for at least 2 weeks after the completion. Some lenders wait till the next month but charge interest for the days from completion on top of the normal payment. This would make the first payment more than the usual monthly amount.

15) What happens at the end of our fixed / tracker rate period?

We will be in touch 3 months before the end of the fixed/tracker rate to review the current market and your options, to make sure you have a competitive onward mortgage arrangement.

16) What if we get ill or die?

Protecting the mortgage and you against this eventuality is very important and we will discuss and advise you how to negate financial loss by death or illness.

17) What will the lender do if we can’t pay due to illness?

As it says on every mortgage illustration, “Your home may be repossessed if you do not keep up repayments on your mortgage.” We will advise you on the various solutions to ensure this doesn’t happen to you.

If you’re looking to buy your first house and need some help and advice around getting a mortgage, please don’t hesitate to give us a call on 01489 578338 or get in touch by clicking the button below.