Arranging a mortgage as early as possible can put you in a strong position with sellers and also reduces the amount of stress when trying to purchase your dream home.
When should I start arranging a mortgage?
You should start the process even before you start seriously looking to buy. The reason being:
To find out how much you can afford: This is particularly important if you are in a more complex financial position. For example: you are self-employed or have recently just started a company.
To ensure that you don’t lose your dream home: Many buyers end up losing their chosen home because they haven’t arranged their mortgage earlier. The secret to smooth home buying is to tick off all the boxes as early as possible.
To put you at an advantage: Compared to rival buyers who do not have a mortgage in principle you are in a much better position.
Where should I start?
Do your research. Mortgages can be the trickiest part of purchasing a property so make sure you know what mortgage you want – tracked, fixed, and variable or bank or building society.
If you’re a first time buyer, you should see what financial help there is from the government.
Once you understand the basics, compare like for like mortgage deals so that you ensure you are getting the best mortgage for you.
Here at Duffin’s we offer free independent mortgage advise should you require any assistance.
The Mortgage in Principle
You cannot complete the mortgage process until you have found a property to buy but all mortgage lenders will give you an indication of how much they are prepared to lend you and on what terms.
Many mortgage lenders will offer you a “Mortgage in Principle” after you have supplied them with the supporting evidence that they require.