If you’re embarking on the journey to purchase your first home, obtaining a mortgage will likely be a crucial step. A mortgage is essentially a loan that uses the home’s value as collateral. Navigating the mortgage process for your initial home purchase can be both time-consuming and perplexing, with numerous decisions at every turn.
Remember, as a loan secured against your residence, failure to make repayments could lead to repossession.
The mortgage size you qualify for heavily depends on your deposit—the upfront sum you’ll contribute toward the home purchase. Generally, a larger deposit allows access to more favorable mortgage terms, thereby potentially lowering your monthly payments. It’s wise to determine your borrowing capacity early on. Different lenders have varying affordability assessments, meaning their lending limits can differ significantly. We can accurately evaluate this for you, ensuring your property search stays within an appropriate price range. This approach enhances your likelihood of acquiring the desired home and minimizes potential disappointments.
Obtaining an Agreement in Principle (AIP), sometimes referred to as a Mortgage Promise or Decision in Principle, can clarify how much you are eligible to borrow before submitting a full application. This preliminary approval is non-binding and typically involves a soft credit inquiry, having no adverse effect on your credit rating. Holding an AIP can provide an edge when bidding for a property, as it indicates lenders will consider your mortgage application up to a specified amount. However, it’s important to realize this is not an absolute mortgage offer. After your purchase offer is accepted, you can complete your full application.
As a first-time homebuyer, you will need a mortgage that aligns with your specific criteria. Our expertise spans a diverse panel that represents the entire market. We guide you through options ranging from fixed to variable rates, capped rates to offset mortgages, ensuring you find a suitable fit. With access to over 70 lenders without limitations, we can assist in both general and shared ownership mortgage inquiries. The key is securing a mortgage that aligns perfectly with your needs.
Once you decide to move forward, you’ll need to fill out a comprehensive mortgage application. With our support, this process is designed to be as smooth and stress-free as possible. The application will include precise details about your prospective property and the specific mortgage type you choose.
Remember, a mortgage is a loan secured against your home, and failure to keep up with repayments or any other secured debts may result in the repossession of your home.
