123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Business >> View Article

Top Tips For The First Time Mortgage Buyer

Profile Picture
By Author: Lucy Carter
Total Articles: 102
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

There is a wealth of mortgage products available on the marketplace, but for those who have never bought their own home before it can be difficult to understand what they should choose. With some key information at your fingertips, navigating first time buyer mortgages needn't be such a maze.

Saving versus debt

Most first time buyers focus on saving as much as they can for the downpayment on their home, often at the expense of paying off other debts such as their credit cards. The fact is however that with the high interest rates on outstanding credit card debts, your ability to save can be slowed down significantly. It's a good idea to pay off these debts first so that in the long run you can save more.

Know your options

The first rule of thumb when looking for the right mortgage is to do your research. Know what is on offer in the marketplace so that you can make comparisons and understand what is available to you. To get a good idea of your loan repayment options as well as the interest rates dependant on your choices, use a mortgage repayments calculator.

Help at hand

Mortgage advisers ...
... can be an excellent solution for first time buyers. They have the experience and expertise to steer you in the right direction, plus advise you on mortgages that won't suit you.

Be clear on what you want

More often than not, choosing a mortgage comes down to your attitude to risk. There is no ideal mortgage product for everyone. You might be more comfortable with a fixed rate of payment instead of a variable rate. Be clear on what you want and it will make the selection process easier.

Don't be shy

As a first time buyer, you can't be expected to know the ropes. Since taking out a mortgage is a huge financial commitment, don't be afraid to ask the experts to explain what is what until you're sure you fully understand what is being offered. Whether you're talking to an independent broker or a mortgage lender, they need to explain the mortgage terms and risks until you're satisfied.

The devil is in the details

Reading the small print is something most people hate doing, but since you're taking on such a huge responsibility, it's important you read and understand every detail of your mortgage offer, plus the lender Terms & Conditions.

Don't bite off more than you can chew

While your lender will run checks to make sure you can afford to meet your monthly payments, ultimately you are the one who knows your finances and outgoing expenditures best. Don't make the mistake of overstating your household income or understating your financial commitments every month in your application form - not only is this illegal, you can land yourself in serious trouble when it comes to meeting your monthly mortgage payments. Be realistic and don't try to borrow more than you can comfortably afford to pay back. Also be aware that interest rates can rise and you will need to be able to cover the added cost.

Forward thinking saves money

As a first time buyer, thoughts of your next home move or mortgage are naturally low on your priority list. Bear in mind though that lenders generally offer the best deals for first time buyer mortgages so if you want another one at a later stage you could be forced to take another lender for a better rate, which would cost time and money. It's a good idea to ask a potential lender whether they have any further deals available to you when you reach the end of your agreement.

The above tips should help you steer through the many first time buyer mortgages on offer in the marketplace. Jumping on the property ladder is more difficult these days, but the challenge is worth it to achieve the dream of owning your own home.
Sean Raston - economics student and expert in first time buyer mortgages.

Total Views: 258Word Count: 651See All articles From Author

Add Comment

Business Articles

1. Finding A Trusted Sustainability Consultant In Abu Dhabi
Author: Agile Advisors

2. Iso Certification In Dubai – Advantages For Business
Author: Agile Advisors

3. Best Forex Brokers List | Best Broker For Forex Trading 2024
Author: Top Forex Brokers Review

4. Celebrate Achievements With Customized, High-quality Awards From Trophy Deals
Author: Trophy Deals

5. Is 100% Company Ownership Possible For Expats In Saudi Arabia?
Author: jodonjo

6. We Are Hiring: Senior Executive - Indirect Taxation In Gurgaon!
Author: tanvir Khan

7. Ceratec Tower 1o8: The Eventual Fate Of Business Greatness In Balewadi, Pune
Author: Tarun

8. Enrofloxacin Manufacturer: Swisschemie
Author: Swisschemie

9. Ultimate Guide To Hotels In Mussoorie: Discover The Best Places To Stay, Including Hr Hotels And Resorts
Author: Hr Hotels and Resort

10. How Quickly Do Fast Cash Loans Online Pay Out Cash On The Same Day?
Author: Lucy Lloyd

11. Leading Digital Marketing Agency In Hyderabad And Unlock Your Brand’s Potential With Sanbrains Agency
Author: Sanbrains Seo

12. Celebrate Success With Customized Awards From Trophy Deals
Author: Trophy Deals

13. Title: Choosing The Right Humidity Stability Chamber Supplier For Your Manufacturing Needs
Author: bio gene

14. Complete Guide To Studying Mbbs In Poland
Author: Mbbs Blog

15. What Is The Process For Locating The Best Lender For Short Term Loans Online?
Author: Robert Miller

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: