First Time Buyer Mortgages

If you are thinking of buying your first home,launched specifically with first time buyers in mind.
apart form looking to see what’s on theIn addition, standard terms have now been
market to whet your appetite, you will need tochanged. In times gone by, generally speaking you
know a little about first time buyer mortgages. Icould multiply your annual salary by two and a half
say a little because there are plenty of first timeto see how much you could borrow. Typically, the
buyer mortgage specialists around who can helpmost you would ever be lent might be 100% of
you. In the UK, advice about first time buyerthe value of the property and you would normally
mortgages from professional mortgage advisorspay it back in 25 years – or at least set out
is closely governed by the financial servicesto do that at the outset.
authority. They make sure that anyone offeringToday, we see extremes of lending up to six
advice on first time mortgages is an expert intimes an annual salary, lending of up to 130% of
that field and also makes the sale – if thethe property value and 40 year terms – even
consultation leads to a sale – completely‘lifetime’ mortgages. We also see lenders
transparent. The mortgage advisor is obliged towilling to lend in various other ways. For example,
ask your permission to give you advice, also tothe joint mortgage for friends buying together is
declare how he is remunerated to ensure that hegrowing in popularity – it’s not without
does not steer you towards a particular first timeit’s risks so we recommend you buy on equal
buyer mortgage except the right one for you.terms and have an agreement drawn up but it
There are many ways you can find mortgagecan make the difference between being on the
advisors or mortgage brokers willing to offerproperty ladder – or not. With the
advice on first time buyer mortgages. TypicallyGovernment’s shared ownership scheme,
you might have someone recommended to you,shared ownership mortgages are now also in
or you might search in the internet or in your localdemand, but probably one of today’s most
telephone directory. These days, you can prettypopular first time buyer mortgages is one where
much choose whether you communicate on-line,parents act as guarantors. With property prices
by phone, in writing or in person.having risen so much, many parents are now
There may be at least two consultations before‘flush’ with equity enabling them to help
the mortgage advisor is in a position to advisewith mortgages or deposits in a number of ways.
you on what your options are or what he thinksAlso there are graduate mortgages, offset
is the best first time buyer mortgage for you. Hemortgages – if any member of your family
will need a great deal of information about yourhas savings, rent to buy mortgages,
financial circumstances – your earnings,lodger-revenue first time buyer mortgages and
outgoings – and in particular any outstandingmany more. One of the greatest innovations
loans or credit card bills. These needn’t– though not without its price is the shared
necessarily mean it will be hard to secure aequity mortgage.
mortgage but it will all be taken into considerationAs new first time buyer mortgages are being
when deciding what monthly mortgage paymentslaunched and upgraded every week, it is always
you would be able to make – also taking intobest to speak to a mortgage advisor about first
account any possible increase in interest ratestime buyer mortgages. They will know which is
which would push up the monthly payments.the latest innovation, which are the best lenders,
As the UK first time buyer mortgage market haswhat deals are around at that time and most
become tougher, many of the lenders have beenimportantly which first time buyer mortgage will
quite innovative with their mortgages. A numberbe best for you.
of first time buyer mortgages have been