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How to get a mortgage as a first time buyer

Trying to get a mortgage as a first time buyer can be a particularly stressful experience, especially if you’re not using a mortgage broker. The problem is there are just so many unknowns and variables. Plus it’s not something you do everyday!

So how do you get a mortgage as a first time buyer? In simple terms mortgage lenders are concerned about three things – your deposit, your income, and finally, the property.

Your deposit

In terms of your deposit lenders are primarily looking at two things – the amount of deposit you have available and the source of your deposit. The greater the amount of deposit (in percentage terms), the lower the risk to the lender. As for the source, lenders want to know if it’s from your own savings, whether you have been gifted the money or whether you are borrowing the money. Each lender will have their own acceptance rules and criteria in answer to these questions.

Your income

When it comes to your income, lenders are concerned about your ability to repay the mortgage. To assess the risk to the lender, they will be assessing how much you earn, the source of your income, and whether it fluctuates. They will also be looking at your outgoings. With this information in hand, lenders will be able to calculate the maximum amount you can afford.

The property

The final piece to the jigsaw is the property. Again, lenders will want to understand the risk to them. They will want to look at the construction of the property, the age of the property, the roof, what premises are next door, whether the property is on a flood plain, etc.

Don’t know where to start? Book in for a friendly introductory chat now. We’d love to hear from you.

Check you’re eligible for a mortgage

Before you even start thinking about how much you can borrow, or what type of property to buy, the first important step is to make sure you’re likely to be eligible for a mortgage. To help you with this, we’ve created a short quiz that will indicate whether or not you’re likely to be accepted.