First Time Buyer Mortgage

First Time Buyer Mortgage

If you’re a first-time buyer, then it’s likely that you’re already saving for a deposit in a bid to get onto the ladder. We can help. There’s lots of help available out there for first-time buyers, so let’s get started.

We’ve tried to answer a few of the most commonly asked questions below for you, but you undoubtedly will have many more, so please do get in touch.  


What does it mean to be a First Time Buyer?

Simply put, it means you have not previously owned a home and won’t have a property to sell. By that, a residence which will be your primary residence in which you live. If, however, you’ve owned a shop or restaurant for example, that still makes you a first-time buyer, as you didn’t use said shop or restaurant as your primary residence.  

What Help Is Available For First Time Buyers?

There are lots of different government initiatives tailored specifically for the first-time buyer. One such scheme is the ‘Help to Buy equity loan scheme’, which allows you to borrow a portion of your mortgage directly from the government. At the time of writing, the deposit required is 5% and the government loan part is free of interest for five years. 

Alternatively, check out the ‘shared ownership scheme’. With this option, your mortgage covers only a portion of the property you purchase. The other part of the property, you will pay rent. It sounds complicated, but it’s a great way of ensuring your monthly mortgage repayments are a little lower thus more affordable. 

We can explain this in a lot more detail for you, but in the meantime, find out more here.

As a First-Time Buyer, How Much Deposit Do I Need?

Ahead of looking at properties, it’s probably wise to start saving your deposit, as it could take some time. Unless of course, you’re lucky enough to have help from friends or relatives. 

As a general rule of thumb, it’s likely for lenders to ask for around 10% of the property’s value. However some lenders do now offer a deposit option of 5%. 

We can explain everything for you and aim to get you paired up with the best mortgage for you and your circumstances. 

How Much Can I Borrow as a First Time Buyer?

Whether you’re a first-time buyer or not, the amount you can borrow will be dictated by your own personal circumstances. As a single applicant, you’ll be able to borrow around four times your annual salary. For joint applicants, it’s usually three times the combined salary or four times the first salary plus the second salary. 

Always worth remembering that lenders will consider all of your financial commitments, such as car loans, any other loans, credit cards, childcare and the like. Be wise and if you’re thinking of getting onto the property ladder, don’t load up your credit card and buy yourself a new car on finance! 

Can We Help You as a First-Time Buyer? Yes, Indeed We Can! 

Buying a house, especially your first one, is a massive responsibility. As qualified mortgage advisers, we have access to the whole of market which will save you a lot of time. Let us use our knowledge and skills to give you the reassurance of aiming to get the best deal for you and your family.

We have access to deals that are not available on the high street and we also have the knowledge to look at your personal financial circumstances to ensure we collaborate with the best lenders for you.