First Time Buyer Mortgages: Your First Step onto the Property Ladder

As a first-time buyer, purchasing your first home is an exciting time but can also be an extremely worrying one.  After all, it’s one of the most significant investments you are ever likely to make. It can be confusing knowing where to start. After all, how do you compare the many products available to find the one that best fits in with your financial situation, life and aspirations for the future?

At The Mortgage Place, we have a sound reputation as a client-focused mortgage broker with an established local track record in first time buyer mortgages. We will help you navigate the complexities of the market to make the right decision for your individual needs and circumstances. Our service includes:

  • First time buyer advice
  • Help-to-Buy mortgages
  • Insurances for you and your home
  • Comprehensive financial planning

Hints and Tips on Choosing Your First Home

Financial Considerations

  • How much can you afford to commit when buying your first home? Be realistic
  • Consider ongoing expenses such as utilities (gas, electricity and water bills)
  • Check which property band any prospective home will fall into, so you can budget accordingly for Council Tax.

Practical Considerations

  • Look for good public transport links, especially if you will be commuting to work
  • Check what local amenities are available, whether there are enough shops, restaurants, cafes and sports centres to suit your lifestyle
  • If you have children, consider the reputation of local schools
  • Enlist the help of an experienced homebuyer when viewing a property.

What Help to Buy Options Exist?

Currently there are three schemes are in place for eligible clients:

Help to Buy Equity Loan Scheme – Eligible for new build mortgages, this scheme is open to both first-time buyers and home movers, who can access a loan of up to 20% of the cost of a new build home when matched with your deposit of 5%. Fees (which do not go towards paying off the loan) will not be charged on the loan amount for the first five years. The interest rate then rises in small increments from year six. It’s advantageous because having such a large deposit overall will enable you to access a better range and quality of mortgage deals.

Help to Buy ISA – This ISA is for those who plan to buy at some stage in the future and wish to start saving now. The benefits are that the Government will boost what you save by adding 25%. So, if you save £200 a month, the Government will add £50 monthly, to an overall maximum amount of £3,000 (if you save £12,000).

Help to Buy Shared Ownership – For households on an income of less than £80,000 (£90,000 in London), first time buyers or those who cannot afford to buy one now, or people who already Shared Own but wish to move, the Shared Ownership scheme can help. With this option, you can buy a proportion of your own house and gradually increase that through purchasing further percentage shares while also making monthly rental payments.

First Time Mortgage Advice From The Mortgage Place

From our Dorset based offices, The Mortgage Place works with clients throughout the county and nationwide. 

For advice on which of our first time buyer mortgages will be best for your requirements, contact us for an appointment.