If you’re looking for a mortgage for a first time buyer we’re here to help. We pride ourselves on making mortgages easy and we’ll guide you throughout the process of buying your first home.
You’re classed as a first time buyer if you, and anyone you’re buying with, are purchasing your first residential property.
When you’re a first time home buyer you’ll usually need a deposit of at least 5% of the property’s value. However the bigger your deposit, the more deals you’ll usually get access to. You may be offered a better rate too.
The amount you’ll be able to borrow on a first time buyer mortgage depends on a number of factors including your income. And if you’re looking for mortgage help for first time buyers, contact us and one of our mortgage experts will crunch the numbers for you and tell you how much you’re likely to be able to borrow
There are different types of mortgages, including:
With fixed-rate mortgages the amount you’ll pay on your mortgage each month stays the same for a fixed period of time, usually 2, 3 or 5 years. These mortgages offer the security of knowing your payments won’t increase during the initial term. Once your deal ends it’s usually a good idea to switch mortgages to avoid paying your lender’s standard variable rate (SVR) as this is usually more expensive than other mortgage rates.
These typically offer a discount from the lender’s SVR for a fixed period. For example, if a lender’s SVR is 5% and the discount is 1.5% off the SVR, you’ll pay a rate of 3.5%. However, the amount you’ll pay will move up or down if the lender changes their SVR.
Tracker mortgages generally follow the Bank of England base rate, plus a set percentage. So if the base rate is raised by 0.5%, the rate you’ll pay on your mortgage will increase by the same amount. But unlike fixed-rate mortgages the amount you’ll pay can go down too.
If this all sounds a bit complicated, don’t worry – that’s where we come in! We make mortgages easy so if you’re looking for first time buyer mortgage advice, contact us. We’ll explain everything to you in a way that’s easy to understand and we’ll help you decide which mortgage is right for you!
The amount you’ll be able to borrow on a mortgage for a first time buyer depends on a number of factors, including:
To find out how much you’re likely to be able to borrow, speak to one of our team of first time buyer mortgage advisors – we have a team ready to help you!
It’s a good idea to get first time buyer mortgage advice before you start house-hunting because:
If you’re looking for mortgage help for first time buyers, we can help. Our specialist mortgage brokers offer access to over 90 lenders and 12,000 mortgages, and have access to exclusive broker-only products so we can help you find the right mortgage for you. We’re here to take the pressure off you and make sorting your mortgage easy. So for mortgage help for first time buyers contact us today!
So when it comes to help buying a first home, what is there? There are several schemes available to help first time home buyers, including:
Lifetime ISAs (LISAs) can be opened by anyone aged 18-39 and are for buying your first home or for your retirement. You can save up to £4,000 each tax year into your LISA and you’ll get a 25% bonus on your contributions from the government, up to a maximum of £1,000 per year. This could be a big help buying a first home. But there are restrictions on how you can use the cash so check it’s right for you before applying. We can’t advise on Lifetime ISAs, so you would need to seek independent advice.
This is another scheme designed to help buying a first home. It’s aimed at local first time home buyers and keyworkers and offers properties at a discount of at least 30% off the market price. If you later sell the property the same percentage discount will be passed on.
To find out more about mortgage help for first time buyers contact us. We have a team of first time buyer mortgage specialists ready to help you.
At The Mortgage Factory, we are a well-oiled machine when it comes to first time buyer mortgage advice. But as well as getting first time buyer mortgage advice there are other things to consider when buying your first home.
When you’re house-hunting think about what’s most important to you and where you may compromise. So are you happy to have a longer commute to work to get your dream home? And would you consider buying a property that needs work doing to it if it means you can get your dream location or a bigger property?
When you buy a home there are other things you’ll need to pay for on top of your deposit. So make sure these are factored into your budget! These include:
Buying your own home comes with other costs too – if your boiler breaks down you’ll need to deal with it, you won’t have a landlord who will sort it out for you. So make sure you’re prepared for the financial commitment of owning a property.
For more information, and first-rate first time buyer mortgage advice, get in touch with The Mortgage Factory today.
There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances, with the fee being up to 1% but a typical fee is £495.