First time buyer

How getting a mortgage works if you’re a first time buyer;

If you’re a first time buyer, you may have spent the past few years saving for a deposit to help you get on the property ladder.

If so, the next step is to find out how much you can borrow so you’ll have a better idea of the type of property you can afford to buy when you start looking for your first home.

First time buyer’s deposit;

Your deposit is the amount of money you’ve saved up to put towards your first home and it will help determine how much you then need to borrow as a mortgage.

The more money you’ve saved as a deposit, the less you’ll need to borrow from the bank. And if you have a bigger deposit, you’ll have access to more competitive mortgage rates.

As well as saving for your initial deposit, you’ll also need funds to put towards fees like property searches, surveys, mortgage arrangement fees, solicitor’s fees, stamp duty, home insurance, removal costs and so on.

First time buyer’s mortgage;

When you apply for a mortgage, the lender will assess your affordability by looking at your annual salary and any other income you receive, as well as all of your outgoings, including credit card and loan debts, household bills, childcare, travel and general living costs.

The lender will also check your credit history to see whether you’re a reliable borrower and will use this and its affordability assessment to decide how much you can borrow.

Mortgage providers will usually have a maximum loan-to-value – LTV – they’re prepared to offer you.

This is the maximum mortgage loan you can take out as a percentage of the property value.

So if, for example, the property value was £200,000 and you were offered a mortgage of £170,000, your LTV would be 85% and you’d need a deposit of £30,000, which is 15%.

Learn More

If you are a First Time Buyer and require a mortgage it is important that you obtain sound professional advice. For information and mortgage advice you can trust Enquire now

Find out more

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Registered in England and Wales

Citrine Mortgages Ltd is an Appointed Representative of PRIMIS Mortgage Network, a trading name of TenetLime Ltd. TenetLime Ltd is authorised and regulated by the Financial Conduct Authority.

The guidance contained within this website is subject to the UK regulatory regime and is therefore primarily targeted at consumers based in the UK

Registered office address - 39 St. Laurence Way, Bidford-On-Avon, Alcester, England, B50 4FG

Registration number - 12616327

What are our Fees and Charges?

Insurance

We will not charge you a fee for our services relating to insurance, but we will receive commission from the product provider. The commission will be calculated as a proportion of the premiums paid for the insurance product.

You will receive a quotation which will tell you about the fees and charges relating to any insurance policy that we recommend.

Mortgages

For our advice services, we will charge a fee of between £395 minimum and £795 maximum. This will depend on the complexity of the case for example adverse credit/ debt consolidation.

• For residential mortgages we charge a fee of £395.

• For buy to let mortgages we charge a fee of £395.

• For clients with complex cases for example adverse credit/ debt consolidation we charge a fee of £795.

Our fee becomes payable when we provide you with our recommendation(s).

If you choose to proceed with our recommendation and the mortgage goes ahead, we will also be paid commission from the lender for arranging the mortgage on your behalf.

The amount of commission we receive varies from lender to lender. Information about the range of commissions available to us from the mortgage products we recommend is available on request.

If you apply for a mortgage that does not go ahead, you will receive no refund.

You will receive a personalised illustration when considering a particular mortgage. This will highlight the key facts about the mortgage product including any fees relating to it and the amount of any commission due to us from the mortgage lender.

If an application is submitted to a lender via a packager (a 3rdparty specialist) we will be paid commission by the packager. This will be disclosed to you.