Hear are Bright’s 7 steps to buying your first home which will help first time buyers to understand more about the home buying process! Bright, the Mortgage Broker in Cambridgeshire, understand that buying a first home can be difficult, especially to understand all of the paperwork and even more so since the Mortgage Market Review came into place making the application process tougher than ever for all mortgage applicants.
1. Remember that a mortgage is a debt. The debt will be secured against the home you buy! Your home will be repossessed if you do not keep up repayments on your mortgage. It is very important that you make sure you can afford the property you are trying to purchase. A mortgage broker will help to test this by going through all of your income and outgoings but it helps to be organised yourself and to understand as much about what you actually spend each month. Doing this will help you to understand what you can really afford and this will help the mortgage broker to assess your circumstances.
2. Talk to a mortgage broker about mortgages. A mortgage broker will help to find you the right mortgage that will suit you short and long term. Not only this but a mortgage broker will handle all of the paperwork for you, dealing in your best interest when negotiating with lenders. Let a mortgage broker take the strain at this point, this is what they are good at!
3. Once your mortgage broker has found you a suitable mortgage you can put in an offer on your dream home!
4. Once the offer is accepted you will need someone to handle the paperwork and you will need to instruct a solicitor to work on your behalf. Again, a mortgage broker can do all of this for you and help you to choose a solicitor.
5. A survey will need to be carried out on the property. Also, your lender will require the property to be valued. A condition report, homebuyer report and building and structural survey will be carried out. If the survey throws up any problems, you may want to back out of buying the property or have an idea of the cost of repairing any problems found. If the survey comes back with no problems, you can progress.
6. Once your solicitor and surveyor are happy, it’s time to exchange contracts. At this point you will need to pay your deposit on the property. Your mortgage broker will guide you through this exciting process.
7. It’s time to complete! This is when you get the keys to your new home. You are now the King of your very own castle. But, you will still have some fees left to pay, remember this! Your solicitor and surveyor fees, Stamp Duty, removal costs and not forgetting, the rest of your mortgage over the time you have agreed to repay it. Understanding that a mortgage is an extremely long term commitment will help you to not over stretch your finances. But like I already mentioned, a mortgage broker that understands the Mortgage Market Review will insist that you borrow responsibly, so make sure you talk to an experienced mortgage broker who will also make sure you protect you and your family with a range of insurance products. More about insurance in the next article.
You can contact Bright today on 0800 6 888 222.
Are you considering remortgaging to save money? Talk to Bright about remortgaging
Your home may be repossessed if you do not keep up repayments on your mortgage.