Buying a property and subsequently getting a mortgage is one of the biggest financial decisions of your life. There are lots of factors to consider and often gathering the required information can seem overwhelming, not to mention confusing. The team at Access Financial Services have put together some tips to help you improve your chances of finding the best mortgage for you.
Its all in the planning
There are several factors that affect your eligibility for a mortgage. These include your credit score, the length of time in your current job and how long you’ve lived at your current address, any debts you have, whether you’re self-employed and the size of your deposit.
Understand your credit score
Your credit report is an electronic document containing your financial history that lenders can see if you apply for credit like a mortgage, loan or credit card.
You can access your credit score report from a variety of online providers. This is a crucial step in understanding your financial situation and you’ll be able to see what lenders see when they review your application. If your score needs a little boost, there are several ways to repair it.
Here are a few tips;
- Always make your repayments in time
- Stay in your credit limit or overdraft limit
- Avoid applying for too much credit
- Keep your name and address details up to date
- Make sure you’re on the electoral register
- Close unused credit cards.
Determine your budget
Before you start searching for a mortgage, it is important to look carefully at your budget including your household income, any debts and your monthly expenses. Your savings are also important as the more capital you have that can be used towards a deposit, the more options you’ll have available to you – not to mention lower monthly payments.
Our mortgage calculator can give you an idea of how much you could borrow. It is important to look realistically at whether you can afford a property alone, or if you should buy with someone else. Ultimately, if you have proof that you can manage your money efficiently, you will have plenty options.
Proof of income will be required as part of the mortgage application process. This can be a P60 for employees, or a SA302 for those who are self-employed. The length of time that you’ve been at your job can be crucial in proving your eligibility for a mortgage. If you are planning on moving jobs, we recommend that you wait until a few months after your new mortgage payments are up and running.
These tips will help get you on track, but really there is one piece of advice that will ensure you get the right mortgage for your needs.
When in doubt, ask for help
If you’re struggling to find the right option, ask for help. Otherwise you could end up being rejected by your chosen lender, or worse still, end up with the wrong mortgage for your situation, which would be a costly mistake in the long run.
An independent mortgage adviser can explain all of your options with no financial jargon; they’ll help you weigh up the pros and cons of each choice and tell you exactly how much you will be paying both now and in the future. Most importantly, they can search the whole market for you to find the best deal. They will also guide you through the process to ensure you have the best chance of your application being accepted.
Our team of Independent Mortgage Advisers can find you the very best deals from across the market, including some that won’t be available on the high street or on comparison websites. Whether you’re looking for property as a first-time buyer, a buy-to-let property to earn extra income or you’re re-mortgaging for that special holiday or to help your children get onto the property ladder, our advisers will help you every step of the way.
Contact us today for a free, no-obligation mortgage consultation to discuss your needs and find out how we can help.
YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT.