First-time buyers

Mortgage advice for first-time buyers

Beginning the journey to Buying your first home is a milestone worth celebrating, but it’s natural to feel unsure about where to start especially when it comes to mortgages. The journey onto the property ladder is exciting but can feel overwhelming—especially if you’re navigating the UK mortgage market for the first time.

Many first-time buyers believe that purchasing their own home is out of reach; I can help you to take those vital first steps to overcome that feeling and making your purchase achievable and guide you through every stage of the process.

I specialise in helping first-time buyers understand the process and navigate the property market with confidence. My goal is to simplify the process and guide you every step of the way.

I am an independent mortgage broker specialising in helping first-time buyers get onto the property ladder and understand the process and navigate the property market with confidence. My goal is to simplify the process and guide you every step of the way.

Who qualifies as a first-time buyer?

You’re considered a first-time buyer if you’re purchasing your first home and have never owned any property, either in the UK or abroad. This includes any properties you may have inherited, been gifted, or owned a share in. To qualify for first-time buyer benefits all buyers named on the property deeds or mortgage must meet the criteria. These benefits, alongside tailored mortgage deals, can make getting onto the property ladder more accessible.

Understanding whether you qualify as a first-time buyer is an important step in unlocking the financial advantages available to you.

Why choose me as your mortgage adviser?

There are lots of benefits to using a mortgage broker, with tailored advice and a friendly approach, I provide first-time buyers with everything they need to feel confident and informed, helping you to find the best mortgage deals to suit your unique circumstance. 

Whether you’re just starting to plan or ready to buy, I can help you:

Assess Your Financial Health:

Before you start house hunting, as a first time buyer thinking about taking on a mortgage loan it’s essential to understand your finances. I’ll help you:

*Check Your Credit Score: A strong credit score can help you access better mortgage deals. I’ll guide you on where to check and how to improve your score, if needed.

*Saving for a Deposit: Most first-time buyers need a minimum deposit of 5–10% of the property purchase price, but a larger deposit can give you access to more favourable rates.

*Reduce Outstanding Debt: I will help you to understand if paying off loans or credit card balances can improve your borrowing power.

Understand Your Budget

Knowing what you can afford as a first time buyer is key to a stress-free property search. I’ll work with you to:

*Review your money including your income, expenses, and financial commitments.

*Find mortgage options tailored to your unique situation.

*Understand the mortgage loan amount you are able to borrow, helping you know how much money you should be saving towards your deposit.

*Explore first-time buyer government schemes like Help to Buy scheme, Shared Ownership homes, or Lifetime ISAs, which can assist with your deposit.

Explore Mortgage Types and Options:

Choosing the right mortgage is essential, but with so many options available, it can feel overwhelming. I’ll help you explore the different types of mortgages, such as fixed-rate & tracker rate options. Together, we’ll identify the best value product for your financial situation and long-term goals, ensuring you feel confident in your decision and with your ongoing monthly payment.

Secure an Agreement in Principle (AIP):

An Agreement in Principle (AIP) also known as a decision in principle (DIP) is a statement from a lender indicating how much they’re likely to lend you. I can help you secure an AIP quickly and easily. It’s a crucial step for first-time buyers because it:

 *Helps you set a clear budget for your search so you can know your maximum loan amount and purchase price.

*Shows sellers you’re a serious first time buyer.

Find Your Perfect Home:

Searching for your dream home should be an exciting experience, but with so many options available, it can sometimes feel overwhelming. I’ll take the time to understand your needs, preferences, and budget to help you focus on properties in your ideal place that truly match your criteria. I also work with local estate agents in both London and the Brighton and Hove area so can help you navigate the market in these areas.

Plan for Additional Costs:

Buying a home involves more than just your deposit. I’ll help you budget for:

*Stamp Duty (if applicable)

*Legal and Solicitor Fees.

*Survey and Valuation Costs.

*Moving Expenses.

Guide You Through Legal process and finalising Your Mortgage offer:

The legal side of buying a property can be tricky, especially as a first time buyer, but I’ll help you navigate the process with ease. From liaising with solicitors to understanding contracts to taking care of your final mortgage application. I’ll ensure you’re fully informed every step of the way, my goal is to make sure the process is smooth, straightforward, and stress-free, Here’s how I’ll support you:

*Handle communication with solicitors and assist with legal paperwork all the way through until you exchange contracts.

*Take care of the formal mortgage application, ensuring all documents are accurate and complete, giving you regular updates throughout.

Help with Surveys and Inspections:

Having a property survey may be essential to uncover any potential issues before completing your purchase. I can connect you with trusted surveyors and help you understand their findings, ensuring you’re fully informed about any concerns that may need addressing prior to finalising your purchase.

Ongoing Support Beyond Your Purchase:

Even after you’ve moved in, I’ll continue to provide advice and support. From setting up home insurance and protection policies such as life insurance to managing repayments and settling into your new home, you can count on me to assist with any questions that arise.

Frequently asked questions

What is a first-time buyer?

A first-time buyer is someone purchasing their very first home and who has never owned any property, either in the UK or abroad. To qualify as a first-time buyer, you must not have inherited or been gifted property or owned a share in one.

What are the benefits of being a first-time buyer?

First-time buyers in the UK can benefit from:

*Stamp Duty relief on properties up to £425,000.

*Access to government schemes, such as the Help to Buy: Equity Loan, Shared Ownership, or First Homes Scheme.

*Competitive first-time buyer mortgage deals offered by lenders.

What deposit do I need as a first-time buyer?

Most first-time buyers will need a deposit of at least 5% to 10% of the property’s purchase price. A larger deposit can help secure better mortgage rates and lower monthly repayments.

What government schemes are available for first-time buyers?

First-time buyers can access several schemes to help them onto the property ladder, including:

*Help to Buy: Equity Loan: Available for new-build homes.

*Shared Ownership: Buy a share of a property and pay rent on the rest.

*First Homes Scheme: Purchase a discounted home (up to 30-50% off).

How much can I borrow as a first-time buyer?

The amount you can borrow depends on factors such as your income, outgoings, credit score, and deposit size. Lenders typically allow borrowing up to 4-4.5 times your annual income, but this varies. I can help you assess your financial situation and find the best deal.

What is Stamp Duty, and do first-time buyers need to pay it?

Stamp Duty is a tax you pay when purchasing a property. First-time buyers in England and Northern Ireland are exempt from Stamp Duty on properties worth up to £425,000 and pay reduced rates on properties up to £625,000.

What is an Agreement in Principle (AIP), and why do I need one?

An Agreement in Principle (AIP) also known as a decision in principle (DIP) is a statement from a mortgage lender indicating how much they’re willing to lend you. It helps you:

*Understand your budget for house hunting.

*Show sellers and estate agents you’re a serious buyer.

I can help you secure an AIP quickly and easily.

What additional costs should first-time buyers budget for?

In addition to your deposit, you should plan for:

*Solicitor and legal fees

*Survey and valuation fees

*Stamp duty (if applicable)

*Home insurance

*Personal protection

How do I improve my chances of getting a mortgage?

To increase your chances of mortgage approval you could:

*Check and improve your credit score.

*Save for a larger deposit.

*Reduce outstanding debts.

*Ensure your finances are organised and stable.

*Use a mortgage broker (like me!)

How long does it take to buy a house as a first-time buyer?

The process can take anywhere from 8 to 12 weeks or sometimes even longer, depending on factors such as mortgage approvals, searches, and conveyancing. I’ll guide you through every step to keep things moving smoothly.

What is the Process of Buying a Home as a First-Time Buyer?

Buying your first home involves several key steps:

1.Speak to a Mortgage Adviser:
Start by getting expert advice to understand your financial situation and explore the mortgage options available to you. This will set you on the right path and help simplify the process.

2.Assess Your Finances:
Check your credit score, save for a deposit, and reduce any outstanding debts to strengthen your application.

3.Get a Mortgage in Principle
A mortgage in principle (MIP) will give you an idea of how much you can borrow and show sellers you’re a serious buyer.

4.Start Your Property Search
Look for homes within your budget that meet your needs and preferences.

5.Make an Offer
Once you’ve found your ideal property, submit an offer to the seller or estate agent.

6.Apply for a Mortgage
With your offer accepted, formally apply for a mortgage, providing all the necessary documents.

7.Conduct Surveys and Legal Checks
Arrange a property survey and work with a solicitor to handle the legal process.

8.Exchange Contracts
Sign contracts and pay your deposit to make the sale legally binding.

9.Completion
Pay the remaining balance, collect your keys, and officially become a homeowner!

Ready to Start Your Journey?

If you are a first time buyer in Brighton & Hove or anywhere in East Sussex and the UK for that matter, whether you’re ready to buy or just beginning to plan for the future, it’s never too early to decide to take your first step by getting expert advice. Contact me today for a free, no-obligation consultation where you can ask me anything about how to make it onto the property ladder, and let’s start turning your dream of owning a home into a reality.

Why not also check out my blogs where you will find handy tips for first time buyers