Arranging a mortgage is one of the most challenging aspects of buying a home. If you are looking to buy a home in Alfreton soon, it is helpful to maximise your mortgage options. At Koopers, we are pleased to say we have assisted many local buyers’ step on the property ladder. The following tips will help you improve your chances of arranging a mortgage.
Save as much of a deposit as you can
This is a tip that probably doesn’t need to be said, but it is helpful to be reminded every now and again. The larger the deposit you have, the more attractive you will be to mortgage lenders. Mortgage lenders offer better interest rates to people with a larger deposit. The difference between providing 20% and 10% of the deposit can be startling when it comes to interest rates, so make sure you give yourself the best chance of saving money.
With the March Budget looming, there may be new options supported by the Government, which helps you boost your savings.
Know your credit score and improve it if you can
Your credit score is crucial in applying for a mortgage, so it makes sense to review your rating. The better your credit score, the more likely it is a mortgage lender will provide you with an attractive mortgage.
If you are looking to check your credit, use one of the free options provided by MoneySuperMarket or MoneySavingExpert. These won’t cost you any money, and as they carry out a “soft check”, they won’t negatively affect your credit score.
There are ways you can improve your credit score, including making sure you are on the electoral register, and this information matches the information in your credit score.
Try to pay down the amount of money you owe
Lenders will review the amount of credit you have at your disposal and the amount of money you owe on loans and credit cards. There is a lot to be said for paying off as much of your debt as you can, and show you can manage credit responsibly.
Make sure you are listed on the electoral roll
A vital tip to remember when looking to improve your credit score is to ensure you are on the electoral roll with your current address. You should be able to update this information online at your local authority website, or by contacting them directly.
It shouldn’t be a shock to learn mortgage lenders are keen to investigate whether you are in a position to afford a mortgage. You should look to provide as much information to support your application. Therefore, it makes sense to arrange your paperwork in advance of your application, as this will allow you to provide lenders with everything they need.
There are many lenders and many mortgages to choose from. You should research your options, and make an informed decision on which mortgage lender and option is best for your needs. Doing so will minimise the time taken during the application process.
If you plan on buying a property in 2020, we are here to help. At Koopers, we are pleased to say we are local property market specialists, and we have played a substantial role in assisting people to step on to the property ladder. Contact us today to see how we can help you in buying your ideal home.