A guide for the First-Time Buyers

Buying your own home can be exciting for first-time buyers. Following your dream can be satisfying for you but it can be a road of hurdles without proper planning. Here we will discuss common mistakes most first-time buyers make. Avoiding these mistakes can lead you to a smoother home-buying process and help you save money as well.

Taking too long to start the application.

Most of the FTBs start looking for houses and offers before getting approval from lenders. Which leads to disappointment and compromises. You should get approval from Mortgage lenders to see how much you can afford. They will let you know how much you can borrow from them. SO, while looking for a property you will have a house price range. Home sellers preferred to see financial support or money backup. Getting preapproval by lenders will help you show your backup plan to homeowners, and you can close a better deal.

Considering offers from only one lender.

Speaking to professionals and getting your documents approved for a quotation is a time-consuming process. So, waiting for one lender can be a foolish mistake. It’s better to look for different lenders. Contact a mortgage advisor who is linked to several lenders. They might be able to get a better offer, possible rates and terms for you and help you choose the right lender according to your financial situation.

Underestimate the timings to get the mortgage.

There is no definite time limit to get your mortgage approval. But in an estimate, it can take 2-3 weeks including the application process and getting a response on it. So it’s very important to start your application as early as possible. To get help contact Gordon Blair Mortgage & Financial Brokers. We have a team of FCA-approved Mortgage brokers who can help you complete your application and make your home-buying process smoother for you.

Not being aware of credit score

Application approval depends on the credit score. And once your application is rejected because of your poor credit score it will count against your next applications too. So, it’s very important to stay updated with your credit score. Before starting the application make sure you correct errors and shape your credit rating according to your application. But if you have Count Court Judgement (CCJ) or a bad credit score it’s still possible to get your application approved by taking help from a professional mortgage broker.

Not verified by the Electoral roll

It’s a plus to be registered with the electoral roll. So, it will be easier for the lenders to verify your financial records. Otherwise, your application may take longer for the verification process.

Using wrong solicitors

First-time buyers choose any random solicitor to deal with their application, but they might not know every lender has their own trained solicitors to work on their behalf. These solicitors charge less and can save you time to do everything at the right time and with a preapproved procedure.

Spending all your money

Take extra time to save money. Running out of savings after a down payment and closing costs can bring trouble for you. Owning a house is expensive but there are many other charges.

There could be extra charges other than just the house price. Home insurance, lender fees, application fees, loan origination fees, council taxes, Moving costs, HOA fees and home maintenance. In an estimation, you might need to spend 3 % to 6% as a closing cost.

Neglecting First-time Buyer programs:

Stay updated with property market and government schemes can help you afford a home more smoothly. Just like recently, the government announced a 1% deposit for first-time buyers. So keep checking your local government website for recent offers. Or contact a professional FCA-approved Mortgage broker to get a proper guideline. Gordon Blair can help you find a suitable scheme for you.

It’s always better to hear from a professional rather than going for online perks. Contact us today and book a FREE appointment with us. We are based in Norbury & Streatham. Get answers to all your questions and help to buy your dream home.