The first step is to contact us and we will advise you on the mortgage options available to you. It doesn't matter if you haven't found a property just yet, we can provide you with some facts and figures that will help you select the property within your price range.
In the meantime we've outlined below some background information on mortgages for first time buyers that we hope you'll find useful.
How much can you borrow?
The amount of mortgage you can get depends on your income and monhtly commitments. Most lenders use an affordability calculator to look at how much you can afford based on your income and outgoings. This figure will depend upon your individual circumstances and vary between each lenders' criteria. Lenders who look at what you can afford base this on the number of people and any loans or debts that you have outstanding. Some lenders offer very good deals for first time buyers, so it always worth asking us to research the market on your behalf. We also have access to exclusive deals via our mortgage clubs.
What other costs do you need to be aware of?
It is also worth remembering the additional costs, on top of your deposit and mortgage that you will be expected to pay.
For example, you will have to pay stamp duty, which is (as at 5th December 2018) 2% of the purchase price for properties between £125,001 and £250,000, then 5% up to £925,000 and 10% on properties between £925,001 to £1.5 million, and 12% on the remaining amount over £1.5m. For properties up to £125,000 you do not have to pay stamp duty. Further details can be found at - https://www.gov.uk/stamp-duty-land-tax/residential-property-rates
Plus you will have to pay for the survey and the valuation of the property, and solicitor's fees.
You may also have fees to pay to the lender for your mortgage. These could be an arrangement fee and/or booking fee. Another cost may be an advisers broker fee. Contact us to find out how much these fees may be.
Jonathan Hales
Independant Financial Advisor
This email address is being protected from spambots. You need JavaScript enabled to view it.
T: 01795 477744
M: 07886 516087