Four Mortgage Tips For First Time Buyers

Four Mortgage Tips For First Time Buyers Buying your first property is a big step and for many it’s the start of a new chapter. Its important to know everything about buying and how you can finance it all before you take the big leap forward.    Are you looking to buy your first ever property, but no idea where to start when it comes to a mortgage?   One of the first questions home buyers ask is how much can I borrow on my mortgage?    Well lucky for you, we share   some valuable mortgage tips for first time buyers, to make it all a bit easier for you. Find what you want and if you can afford it Once you have decided on where to live as well as what budget is required for the deposit, you will need to understand what you can afford to pay monthly, after taking all your income into account. Using an online calculator can be extremely useful during this stage to find out what type of mortgage you can truly afford. It is important to select a mortgage type which suits your exact lifestyle. Working out how much you can afford to borrow and repay is useful before you agree on selecting one. It is also key to consider the mortgage interest rates which can often rise during th4e course of the mortgage, so make sure to factor this when choosing one. The best thing about being a first time buyer is that you will be more likely eligible for certain schemes designed by the government to get you on the property ladder. These include things like help to buy    and special programs to   help you pay the mortgage. Be attractive to mortgage lenders Your lenders will want to see your accounts, and spending history. It is crucial that you keep on top of your spending to make sure you are in fantastic financial shape before going to apply, in order to get accepted. They also look to see if you earn more than you spend, so it is probably a good idea to cut unnecessary spending too in order to show that you will have enough to cover your monthly rate in the future. The decision for a mortgage is usually based on your credit report, so make sure that this is a healthy score and if not, try to get it that way beforehand. Watch out for hidden costs When it comes to your mortgage there can be a lot of hidden costs, that you may otherwise not be aware of. This includes; Legal Fees â€" for conveyancing and land registry, it is recommended to take a flat fee as this allows you to contact your solicitor when you require without worrying about extra added rates. Valuation Fees â€" it is recommended to get this done as part of the mortgage offer as there is a chance to save a large amount of money doing this. Stamp Duty Consider how much this will cost. Recently stamp budget charges were cut for first time buyers in the UK, however its important to check if this is the case where you are. Shop around for the best deal  By shopping around you will save a lot more money in the long term. Online resources such as mortgage calculators as well as comparison websites can be so helpful to help you make the right deal before you settle. The most important thing to keep in mind is that your finances are key to getting a good deal, so make sure they are in good shape. We hope these four mortgage tips will be useful to you when it comes to sourcing your first mortgage!