Buying and owning your first home is an incredibly exciting process, but trying to get your head around the mortgage process and everything else house-buying-related can be daunting.
From choosing the right lender to solicitors, our handy list below will help you when it comes to making the leap into property buying.
Building on your credit score will greatly influence and determine whether you qualify for a mortgage and affect the interest rate lenders will offer.
The higher the number, the more likely you are to be offered a range of good mortgage deals.
Strengthening your credit score to buy a house shouldn’t be too daunting if you follow these easy steps:
Having a dream house in mind can leave first-time buyers feeling disappointed when they fail to meet their expectations. So, it’s important to figure out how much you can safely spend on a house before you begin your shop.
There are a range of home affordability calculators which can help you set a price range based on your income, debt, down payment, credit score and where you plan to live.
You can typically borrow a multiple of your household income and this amount will be influenced by your credit score. Adding this sum to your deposit will give you an indication of your budget.
The larger your deposit, the more favourable the mortgage deals you are likely to be able to access.
Mortgages are not one size fits all and should therefore be researched carefully before you make any decision.
There are many different types of mortgages on offer which can be explored using price comparison websites to help you to understand the types of product available.
You can also seek out a mortgage broker who can be a good way to get individualised mortgage advice, although you may have to pay a fee.
The first thing to think about when considering a mortgage is the interest rate. Most people start out on a fixed rate deal for a set number of years.
Repayment mortgages are the most common, where you make monthly payments for the amount you borrowed and the interest.
The other type of mortgage is known as an ‘interest only’ mortgage. But these aren’t often available unless you’re looking for a buy-to-let mortgage.
It is essential to remember before you begin viewing properties, that you get a mortgage decision in principle. This is an official written statement from a lender giving an estimate of what you can borrow.
It also gives you some indication of your budget and signals to sellers that you are serious about buying a property.
For first-time buyers, the initial stages of house buying and applying for mortgages can be overwhelming so it’s helpful to know who is there to help you achieve your goal.
The estate agent will help guide you through the buying process and work with other parties to help the sale progress. But remember - their primary role is to help the seller sell their property.
By Chloe Keys
Advertise your business on Property Hub NI and reach thousands of people across Northern Ireland.
From display ads and content packages to blogs, videos and more let us help you reach new customers today. Find out more by contacting 028 9600 921 or click here.
