How to Secure a Mortgage on Your Ideal Property

December 20 2022 - For millions of people, getting a mortgage and buying an ideal property is one of the biggest moments in life. It is also one of the most financially demanding experiences. It is estimated that 6.9 million households in the UK have a mortgage on their property. The act of securing a mortgage on any property can be challenging, especially in the financial climate of 2022, where inflation is high, and a person’s wages may not keep up with the rising cost of living. For some people, securing a mortgage can be a stressful experience, especially in the early stages of adulthood when income levels and personal savings may not be high. However, with some smart planning and taking the right forms of mortgage and financial advice, the process can be relatively straightforward. In this article, three strategies are discussed in detail. These will serve to increase your chances of securing a mortgage on your ideal property, whether you are a first-time buyer or looking to move up the property ladder.

Check Your Credit Score

Securing a mortgage often means proving to a lender that you have sufficient income and low enough expenditure to be able to comfortably afford to pay the mortgage each month. It will be exceptionally difficult to secure a mortgage if you hold high levels of debt or have a poor credit rating. Thankfully, there is a range of websites that can help you determine your credit score. Sites such as Experian allow consumers to receive a free credit score based on their financial status. In addition, sites such as this can offer tips and advice on how to improve your credit score. Having a high credit score can be of significant help when looking to secure a mortgage and this type of information should be sought out by all individuals who are looking to get accepted for a mortgage.

Consider Specialist Mortgages

Many people do not have a 9-5 job with a regular, predictable income. Freelance workers or the self-employed may have multiple income streams and it can be difficult to prove total income levels in such cases. In other situations, a person may look to secure a mortgage on an unusual property that may be difficult to value or be seeking to take out a larger-than-average mortgage. In such circumstances, it can be worthwhile to speak to property experts, such as Respect Mortgages, who deal with Specialist mortgages. They will be able to offer advice and guidance for less common mortgage scenarios, so that the chances of securing such a mortgage can be improved.

Work Out Your Budget

When planning to secure a mortgage on your ideal property, it is imperative to fully understand your finances. It makes sense to sit down and map out your income levels, along with regular expenditures, and list any long-term loans, debts, or credit card liabilities that are held. By working out the total amount of money you earn each month, balanced against your total expenditure, you will have a clear picture of what amount of monthly payment you can afford on a mortgage. Also, consider that by putting a larger deposit down on your intended property your monthly repayments may be considerably lower.

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