If you are thinking about buying your first house, it is important to get expert mortgage advice. If you dive straight in with little thought, you could end up with a mortgage that is not right for you or your application may simply be declined altogether. To make sure this does not happen, we have put together some top tips on securing your first mortgage:
The first thing you should do if you are thinking about taking out a mortgage is get a copy of your credit score. There are a number of online agencies who provide this service. Make sure you choose a reputable credit reference agency. Any financial advisor will tell you that your credit score matters. If your credit rating isn’t very good, your mortgage application will be declined. If this is the case, you should work on improving your score before making a mortgage application. You can do this by getting on the electoral roll and ensuring your personal information is up-to-date. You should also pay off any outstanding debts you have, and close any credit card accounts that are no longer in use. You also need to sit down and work out what you can afford before seeking professional mortgage advice. A total debt servicing ratio calculator can help. You don’t only need to accumulate enough funds for the deposit itself, but you need to make sure you can afford all of the associated fees and costs. Many experts advise saving 10 per cent of the property’s value for this.
If you are thinking about a career change, now is not the best time. Put it off until you are in your new home. Most lenders will want to see that you have been employed for a decent amount of time before giving you a mortgage. If you are still in the probationary period at a new job, they may decline your application. If you are self-employed, you will need to show that you have received a stable income on a monthly basis for a considerable period of time, typically a few years. Most lenders will ask you to provide your full accounts for the last three years or they will want to view your self-assessment tax form. Getting a mortgage if you are self-employed can certainly be a lot trickier, which is why it is even more important to use the services of an independent mortgage advisor. It is also advisable to try and save for a bigger deposit if you have time on your hands. The bigger the deposit, the better chances you have of securing a mortgage, and a good one at that. Lenders keep their best rates for buyers with a sizeable deposit. Other first-time mortgage tips that the best financial advisors will provide include: buy with someone else if you can’t accumulate the funds on your own, don’t chop and change your application, and work on clearing any debts before applying.
So there you have it; some top tips to get you started when it comes to securing your first mortgage. When the time comes, make sure you seek expert mortgage advice from someone with plenty of experience in the industry. A mortgage is a life-changing decision, and so it is not something that should be considered lightly.
Do You Need To Hire A Financial Advisor?
Deciding whether to hire a financial advisor can seem like a difficult decision. Most people assume that this is a route to go down when they reach a financial milestone or something rocks their current situation. However, everyone can benefit from the services of financial advisors, and in this post, we reveal the important reasons why you should hire one.
A reputable financial advisor will make certain your finances are working for you in the greatest possible way. They will figure out where you want to go, and they will map out a plan for getting there. They will help you to understand any trade-offs you may need to make along the way, as well as determining what actions to take. They will be there to answer all of your questions and help you to make good decisions when life throws a curveball your way. One of the key benefits associated with seeking independent financial advice is that your emotions won’t get in the way of your considered and well-designed financial plan. This can easily happen when you are in complete control. However, a financial advisor that is proactive and planning-oriented, with transparent processes and philosophies, will not allow your emotions to take over. They will be there to steady the ship and offer a rational voice all of the time. After all, one bad decision can have a monumental impact on your financial stability. In addition to this, financial advisers can also offer you tailored advice, such as mortgage advice.
No matter whether you are a first-time buyer or you have a portfolio of properties, they will help you get the right mortgage for you. They will also make sure you understand the ins and outs of the contract you are signing. Financial advisors are particularly good at spotting risks. By getting to know you, they will learn your tolerance to risk, and they will make sure your investment portfolio matches your risk profile. The untrained eye can’t always spot holes in their investment plan. In addition to this, your financial advisor’s know-how of the market and potential volatility will serve you well when making important decisions. Another reason to consider professional financial advice is because you will get access to a wealth of opportunities that you wouldn’t otherwise know about. You will also be able to make the most of your financial advisor’s network, which will likely include estate agents, mortgage brokers, accountants, and vendors. This makes the transition into lending, investing, or saving, a lot easier. All in all, a financial advisor will stop you from making bad decisions, help you to make good ones, and ensure your money is working hard for you. This is something that everyone should benefit from.
As you can see, there are many benefits associated with hiring a financial advisor. However, to experience all of these advantages, you do need to choose an advisor with care. Be certain that they have an abundance of experience, all of the required qualifications, and an outstanding reputation to back it up.