Helping you Purchase a Home
First Time Buyer
A First Time Buyer is someone buying their first home, which is intended as a primary residence. The very first step to help get you on the property ladder is knowing what your borrowing amount is. This figure is based on your financial circumstances and credit score. Those with a higher income and stronger credit score will be offered a higher lending value. Once you know how much you can borrow, you can then put aside money for your deposit which should be at least 5% of the property value.
A home mover is when you have a mortgage on your current home and plan to move to a new property, this is also known as Porting. You don’t necessarily need to change your mortgage to move home, but you have the option to do so. When porting, a new mortgage application is required and there will be other fees involved, such as arrangement and valuation fees.
Remortgaging is when you move your mortgage on your existing property, from one lender to another. Your new mortgage will then replace your old one. You may want to remortgage if you’re coming to the end of your existing mortgage rate.
Buy to Let
A Buy to Let mortgage is someone looking to buy a property to rent out, rather than live in it. Most But to Let Mortgages are interest only. This means that the monthly repayments will only pay off the interest, not the capital. Instead, the capital will be paid off in full at the end of the agreed term by savings or sale of property. The Financial Conduct Authority does not regulate some forms of Buy to Lets.
There is no specific type of mortgage for Self-Employed applicants. The difference lies in how you prove your income. You’ll need to satisfy a lender that you’ll be a reliable borrower by proving your income is steady, your expenses are reasonable, and your business is showing sustainable growth.