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Thursday 21 January 2021
Thursday 21 January 2021
Thursday 21 January 2021
Thursday 21 January 2021
Getting onto the property ladder is a significant milestone, but it can often feel overwhelming due to the abundance of conflicting advice. At Barrett Mortgages, our advisors are here to guide you through the entire process—from your initial contact with us to becoming a qualified purchaser and a desirable buyer for estate agents and sellers alike.
Buying your first home is an unforgettable experience. While the actual purchasing process starts when you find a property you like, early planning can offer substantial benefits. Organising your family finances to save for a respectable deposit while accounting for moving costs is an essential first step.
The Importance of a Deposit
A larger deposit is always advantageous. For lenders, a borrower’s deposit serves as protection when assessing a mortgage application. Lenders must consider potential challenges a buyer may face during the mortgage term, such as dips in house prices, unemployment, or reduced income.
A bigger deposit not only reduces the lender’s risk but also benefits you as the borrower. With a larger deposit, you can enjoy smaller repayments, making your mortgage more affordable. Simply put, borrowing less means repaying less, giving you more financial flexibility.
Budgeting for Moving Costs
Setting aside money for moving costs is crucial. Buyers may incur expenses such as stamp duty, solicitor’s fees, and surveyor’s fees. Additional costs, such as moving expenses and furnishing a new home, can vary widely. Having a budget for unforeseen expenses ensures you’re prepared for anything unexpected after moving in.
This preparation can cover the cost of addressing surprises, like unnoticed repairs or upgrades, ensuring you’re financially secure as you settle into your new home.
Government Schemes and Family Support
Government schemes can simplify the process of getting onto the property ladder, particularly for new-build homes. For example:
Help to Buy Scheme: With a 5% deposit, the government lends up to 20% of the property’s purchase price, leaving the remaining 75% to be covered by a mortgage.
Mortgage Guarantee Scheme: This scheme supports both new-build and pre-owned properties. Here, lenders insure a portion of the mortgage with the government, providing additional security.
Additionally, family members may be able to assist younger buyers. Older relatives with greater personal wealth might act as mortgage guarantors, helping trusted younger family members secure a mortgage.
Expanding Property Portfolios
Barrett Mortgages also offers specialised advice for clients looking to start or expand a property portfolio. Whether you’re entering the buy-to-let market or adding to your existing investments, we can help you secure the best deals on buy-to-let mortgages and provide expert guidance on managing your portfolio.
Contact Us for Expert Advice
If you’re ready to take the first step onto the property ladder or want advice on other mortgage services, contact Barrett Mortgages today. Our friendly and experienced team is here to make the process as straightforward as possible.
Explore the rest of our website to learn more about how we can assist you in achieving your property goals.
Getting onto the property ladder is a significant milestone, but it can often feel overwhelming due to the abundance of conflicting advice. At Barrett Mortgages, our advisors are here to guide you through the entire process—from your initial contact with us to becoming a qualified purchaser and a desirable buyer for estate agents and sellers alike.
Buying your first home is an unforgettable experience. While the actual purchasing process starts when you find a property you like, early planning can offer substantial benefits. Organising your family finances to save for a respectable deposit while accounting for moving costs is an essential first step.
The Importance of a Deposit
A larger deposit is always advantageous. For lenders, a borrower’s deposit serves as protection when assessing a mortgage application. Lenders must consider potential challenges a buyer may face during the mortgage term, such as dips in house prices, unemployment, or reduced income.
A bigger deposit not only reduces the lender’s risk but also benefits you as the borrower. With a larger deposit, you can enjoy smaller repayments, making your mortgage more affordable. Simply put, borrowing less means repaying less, giving you more financial flexibility.
Budgeting for Moving Costs
Setting aside money for moving costs is crucial. Buyers may incur expenses such as stamp duty, solicitor’s fees, and surveyor’s fees. Additional costs, such as moving expenses and furnishing a new home, can vary widely. Having a budget for unforeseen expenses ensures you’re prepared for anything unexpected after moving in.
This preparation can cover the cost of addressing surprises, like unnoticed repairs or upgrades, ensuring you’re financially secure as you settle into your new home.
Government Schemes and Family Support
Government schemes can simplify the process of getting onto the property ladder, particularly for new-build homes. For example:
Help to Buy Scheme: With a 5% deposit, the government lends up to 20% of the property’s purchase price, leaving the remaining 75% to be covered by a mortgage.
Mortgage Guarantee Scheme: This scheme supports both new-build and pre-owned properties. Here, lenders insure a portion of the mortgage with the government, providing additional security.
Additionally, family members may be able to assist younger buyers. Older relatives with greater personal wealth might act as mortgage guarantors, helping trusted younger family members secure a mortgage.
Expanding Property Portfolios
Barrett Mortgages also offers specialised advice for clients looking to start or expand a property portfolio. Whether you’re entering the buy-to-let market or adding to your existing investments, we can help you secure the best deals on buy-to-let mortgages and provide expert guidance on managing your portfolio.
Contact Us for Expert Advice
If you’re ready to take the first step onto the property ladder or want advice on other mortgage services, contact Barrett Mortgages today. Our friendly and experienced team is here to make the process as straightforward as possible.
Explore the rest of our website to learn more about how we can assist you in achieving your property goals.
