If you are a First Time Buyer in York taking that first step onto the property ladder or Home Mover in York looking for a change in location but are unsure on where to live in York, we are here to help. Our expert Mortgage Advisors in York have created a list of the top things to keep in mind when deciding on a location.
To start, you need to establish whether you are looking for a city or rural landscape to live in. The bustling city centre of York may be the perfect place for you if you are looking for a lively atmosphere or the quiet and quaint rural areas to escape the city centre could be your thing.
Transport links can be an important element to some, especially if the reason for moving or locating within York was to be closer to family or work. Therefore, checking how close you are to the train station or bus stops or even main roads in and out of the city if you do drive could be a factor you need to look at.
Sometimes, people look for a property to be there ‘forever home’ where they want to start a family or where they want their family to live in for a long time. As well as the size of the property, it’s best for you to look at the schools around the area. There are plenty of authority websites and school league tables where you can look at how schools are performing.
It can be handy if you are located in an area where lots of facilities are just a short walk from your home. Obviously, everyone’s priorities and situations are different, you may want find a gym being close is more important to you or a certain food shop you prefer, this is where you can highlight your priorities when comparing areas. Again, people with children may want a local park to be within close proximity of where your home is.
Speaking to an estate agent can be good if you are wanting to know what is nearby, however, Google Maps does have helpful information regarding the facilities in the area and can provide you with an insight into how reputable these facilities are.
The deciding factor on a property could be whether you are close to your friends and family. Sometimes, this can be convenient as you can help each other out whether it be for childcare or transport. However, some prefer their own space and don’t need the help of their family and friends, this all comes down to your preferences.
When it comes to house prices, as well the property size, this comes to location. If your goal is to get somewhere that is value for your money, it can be best to look at an area in York that is a bit more reasonable. Because of this, you may need to compromise on additional preferences that you have decided on.
A thriving and friendly community may be your priority especially if you are looking to make some friends in the area. Facebook groups can be great for this with a number of communities also having their own websites. To truly feel the community spirit, it can be helpful to visit the area a couple of times before making a final decision.
Normally, the main reason for people to Move House in York is due to a career change which in turn means a location change. It’s likely that you are wanting a short commute to your work which could be the deciding factor on a property. If you are looking for jobs after the move, researching the business parks and the types of employers around the area can help you and can give you an idea of what is available to you in the area.
With a large selection of houses out there, there is plenty of properties to look at that could fit your preferences. You may decide an urban apartment just for you is the place or an end terrace with a beautiful garden would be perfect for you and your family. Exploring the various property options out there can be brilliant to find which one fits you and your circumstances.
When you have got an offer accepted, it’s good to be sure that your property is actually the amount it’s worth. Getting a property survey carried out on your property can truly determine whether or not your property is the amount it’s worth. There many types of property surveys out there which is why our handy guide on the types of property surveys could be helpful to you. Alternatively, a member of our team is more than happy to help you with this.
If you are looking to stay in your new home for a long time, it can be best to research if there is any planned investment within the area. You need to see whether potential investments will benefit you and not take away any of the other previous factors. For instance, if you are interested in a property in an overall quiet area but there are plans for further housing development near you, would this effect you?
Towards the end of your fixed mortgage terms, you might decide you want to stay in your current property instead of moving. This is when you can look at starting your Remortgage application!
In the current climate where many have gone full remote working since the coronavirus pandemic, having an area where you can work is important. A remortgage can give you the chance to make developments and modifications in your home like converting your kitchen, living room or even remortgaging for a home office in York.
When you have built up a large amount of savings for a deposit on your first property and are in a position where you can behind your mortgage journey. It’s then time to prepare for a mortgage in York!
It can make a significant difference if you do overpay your mortgage even if it is in small increments as well as the interest you pay back during your mortgage. The quicker you begin paying this, the sooner these extra payments can take effect.
As a First Time Buyer in York, you may be aware of the difference when you overpaying your mortgage and the impact it can have on interest when you pay it back regardless of whether you are only over by small amounts. The reason why overpaying early can be better is because the extra payments have a longer period to take effect.
In some cases, homeowners may not be able to make these extra payments but you could say that many decide not to overpay as they would instead use the remaining money on something more interesting and exciting!
With this in mind, we suggest you arrange a standing order payable to your lender each month. It would be wise if you do organise this standing order to go out on the same date as your standard mortgage repayment, this additional payment will hopefully start to feel a part of your standard mortgage payment.
The advantage of going for a standing order is that, instead of a direct debit, you are able to manage this, not the receiver. Therefore, if you have a financial emergency you can easily log into your online banking and cancel the standing order as this doesn’t go out the next month. As much as it’s not the best to stop overpaying, you still will be able to benefit from the overpayments make up until that point.
Getting into the routine of overpaying your mortgage is a great habit, the amount you overpay doesn’t have to be a large amount, however, you’ll be happy when you are at the end of your mortgage repayments and find you have taken off a year or two.
Sometimes, lenders will allow you to make reduced mortgage repayments or take a payment holiday if you provide evidence of a history of overpaying. Prior to taking a payment break, however, it’s key that you check with your lender that you are eligible. If you don’t, this could mean you end up with a negative mark on your credit report and this is something you should strive to avoid.
If you are looking to overpay your mortgage, you should speak to your mortgage lender to see if this is doable.
Another option for people who have already been overpaying and are seeking Remortgage Advice in York ahead of releasing their equity to remortgage onto a better deal, take advantage of our free remortgage review. Here at Yorkmoneyman, a designated Remortgage Advisor in York.
The coronavirus pandemic meant restricted guidelines with one being people must work from home. Fast forward to today, this event in time has created a new wave of workplaces offering either hybrid working (working from home or the office) or working remotely on a permanent basis.
Even though working from home has been around many years before the pandemic, this has been something people never imagined they would prefer doing. In terms of the mortgage industry, as a Mortgage Broker in York, we found that many people look into converting their kitchen, living room, or even a bedroom into a home office.
As mentioned, many people were already working from home prior to the pandemic and a few businesses have let their employees work from the comfort of their home, rather than commuting to the office. One of the benefits of doing this is that many people would be saving money in commuting to and from work.
Many homeowners who are working remotely on a permanent basis usually look at having a space in their home dedicated to work which can provide them with a somewhat work and life balance. As mentioned, many people look at updating a certain room in their home to achieve this goal and this is where Remortgaging in York can help. Creating a space for work or a home office has many benefits including:
With excellent technological advancements, many homeowners have benefitted from Remortgage Advcie in York when looking for extra funding to be put towards revamping a room or even a garage in to a new home office. This can be done through manageable payments, for example an interest rate of 2% that is manageable over 25 years may cost you:
You might find that it is not too much more than what you are paying at the moment which means it could be better for you to approach the route of improving your home, instead of moving, which can be a stressful and costly process.
When it comes to the amount you will need to pay back per month, this all comes to the the amount you can borrow overall, what your remortgage goals are and how you are going to do it e.g the size of an extension. Furthermore, you will need to keep in mind that you will need to undergo another affordability assessment, in spite of if you go to the dame lender and just switch deals.
If you are thinking of remortgaging for home improvements, this is the best time to look for a remortgage deal. If you are still unsure about Remortgaging in York, check out our article ‘top reasons to a consider a remortgage‘. Here at Yorkmoneyman, we can provide you with an expert Mortgage Advisor in York who get to know your remortgage goals and find you the best product perfect for your financial needs.
As a Mortgage Broker in York, we have a knowledgable team who have years of experience in the mortgage industry and can provide you with the help you need to look through your options and provide a friendly, helpful service that will support you through the remortgage journey.
With any remortgage, when you have come to the end of your term, you will automatically be placed on your lender’s standard variable rate of interest (SVR). If you do end up in this situation, it’s likely that your mortgage payments have increased due to the rate being higher than your original one. Therefore, having a mortgage review prior to your fixed term ending could save you money which further supports the idea of getting your mortgage reviewed in York.
When approaching the end of your mortgage term, it’s wise that you begin thinking about Remortgaging in York. We offer all our customers a free remortgage review where you can speak to a qualified Remortgage Advisor in York giving you access to a better and more competitive product.
Many people decide to stay in their current property instead of moving home. This is when they will look at Remortgaging in York to proceed with their mortgage journey.
The option to remortgage can be perfect if you are looking to remain in your current property in York with more pleasing interest rates. The way it works is by transferring from your existing deal to a more appropriate deal. With many years of providing open and honest Mortgage Advice in York under our belts, our team of knowledgable Mortgage Advisors in York are here to help.
Usually, the banks rely on their customers being unaware of the fact that they can shop around for a more appropriate deal. This can result in many people missing out on the cheaper deals that may be out there. By having one of our expert Mortgage Advisors in York by your side who can help you compare deals, you can be sure you are on a competitive deal that is right for you.
You could seek better deals through a comparison site, however, these only find you the best deal on an interest basis.
If you have been on your current mortgage deal for a while, you may be able to go on a low Bank of England tracker deal. In some cases, you may be paying less than 1% in interest which suggests that it may be best for you to stick with that mortgage deal. One issue with this is if the base rate rises over time along with your payments.
This is a possibility, however, it all comes down to whether you can pass the affordability assessment and you have an efficient amount of equity in the property. If this is an option you are interested in pursuing this, you may be able to increase your remortgage to fund these future home improvements.
If you decide to go for the option of remortgaging for home improvements on your property in York, this will provide you the opportunity to give your home a makeover which could increase the price of your
property. So if you are looking for financial support with updating your kitchen, converting a loft or creating a home office, Remortgaging could be the option for you!
Not only can you borrow more money for home improvements, but you may have the option to borrow additional funds for other things such as:
Increasingly building on debt to your mortgage is not a good idea. It will result in you having to pay back more interest altogether by extending the term of your debts to make the payments manageable.
This route would involve you taking debt, which is not secured, and securing it on your home. This is a major risk and could involve you having your home repossessed. One problem that could possibly happen would be consolidating debts that you can afford or credits that are 0% interest.
This is just another reason why it’s important to get in touch with an expert Mortgage Advisor in York before securing any debt against your home. There may be an option for you to reduce your outgoings to avoid missed payments. If you decide to take this route, you will be reducing the risk of your credit rating being in a bad state.
You may that the lender would offer a “Product Transfer” or “Retention” product. This gives you the opportunity to stay with your current lender who will provide you with a new deal. Keep in mind that this option isn’t always guaranteed, however, there is no harm in contacting your provider to see what is available to you.
Usually, some lenders will allow you to make a product switch online without needing to get further information or advice.
As much as sticking with the same provider and just switching products seems like the simpler option, you may save yourself more money if you put forward a new application to a different lender.
In many cases, banks would offer favourable rates to new borrowers over existing ones. As a Mortgage Broker in York, we hope there will be a point in the future when lenders will take a more ethical approach that could have a positive impact on customer loyalty.
When you apply for a mortgage, having a high credit score improves your chances of being successful. That being said, a high credit score alone won’t guarantee that the financial institution will approve your mortgage.
Every mortgage lender has its own unique mortgage lending criteria, meaning a high credit score in the eyes of one, might not necessarily be a high score in the eyes of another.
Speaking to a mortgage broker in York, like ourselves, is just one of the great ways to improve your chances of success. Using our knowledge of mortgages, we’ll look to get you matched up with a suitable lender for your circumstances.
If you want to get a much more in-depth knowledge of your credit score, you can take a look at a wide variety of credit scoring agencies. For people seeking mortgage advice in York, you will probably come across the bigger names, such as Experian or Equifax.
It is important to check more than just one of these though, so you can get a more accurate look at how your credit file is currently. It also helps to spot any mistakes or inconsistencies amongst the different platforms.
Of course if you’re doing multiple credit searches, you may also harm your chances of getting a mortgage approved by a mortgage lender, especially if you are doing too many.
Instead, try to limit it to a small selection of trusted credit scoring websites, in order to prevent doing any potential harm to your mortgage chances.
People on the voters’ roll are considered to be much more stable and organised than people who are not, and it is something that will reflect positively on your credit score.
If you have not done this before or have not updated your information, it may be worth doing so in order to possibly improve your credit score and consequently, your chances of being accepted for a mortgage.
Another way to improve your credit score is to know your maximum credit limit and make sure you don’t go over that amount.
Maxing out your credit limits your credit score may not help with your mortgage lenders perception of your ability to stabilise your finances.
A mortgage lender will prefer to work with individuals of whom they know can maintain their finances responsibly, with minimal to no risk of falling into arrears.
It is very important to update your address history to ensure that your provider knows where exactly you live at a given time. Failure to do so could give the impression that you’re living in two places at once.
Ensure that the details are correct, especially if you live in a flat- which could be quite difficult due to different address formatting.
If you have any old credit accounts that you no longer use, contact the providers to close the accounts. Doing so will be sure to streamline your finances, protects you from fraud and reduces the risk of harming your credit score.
If you have family, an ex-wife or husband, or any other person that you are financially linked to, it is important to sever those ties prior to a mortgage application.
The truth is, those links may potentially harm your credit score, especially if that person develops a poor credit score of their own. Due to the link, your score will also go down.
Whether you’re a first-time buyer in York, looking to remortgage in York, moving house in York or any other kind of mortgage scenario, your credit score should always be one of your top priorities.
Book online to speak with a mortgage broker in York. A dedicated advisor will talk you through any necessary steps for you to take.
There is the option out there for someone to have a second mortgage, however, this all depends on the individual’s circumstances with some situations requiring a person to have a second mortgage. Like with any mortgage, you need to know if you are eligible to do this.
Many people decide to go for this option for a number of reasons like:
In the circumstance where you have built some existing equity in your home, you may look at taking out a second mortgage. You might look to do this so you can release some of the equity to fund another purchase. Our expert Mortgage Advisors in York can help you out with this.
In this situation, a second mortgage is also referred to as a secured loan.
If you are currently on a lenders standard variable rate, you might find that a dedicated mortgage broker, like us, will be able to look around in the hopes to find you a more competitive deal for you along with helping you to release some capital.
Another option that may benefit you is further advancement with your current lender.
When people move home, usually they onto their new mortgage leaving their existing one behind by simply transferring to another deal. On the flip side, you may find that some people prefer to keep on to their current mortgage and property as a way to rent it out. As a result, your new second mortgage will now be your residential one. This is known as a Let to Buy and will only occur when you are Moving Home in York.
This has become an option that has become increasingly popular. In the current climate of property prices and inflation constantly rising, many First Time Buyers in York have found getting on the property ladder a challenge.
Because of this, many parents and grandparents see their challenging situation and provide a helping hand. You could see this as a different form of a gifted deposit, they could even give them their property and move out themselves.
Sometimes, people look for a second mortgage for a Buy to Let. This is perfectly acceptable, with landlords having multiple mortgage. Through our time providing Buy to Let Mortgage Advice in York, we have helped many landlords and built strong relationships with them to find them the best Buy to Let mortgage product. Our team are happy to help do the same for you!
Some of our customers are in situations in which they are currently named on another mortgage and are looking to purchase another property.
Normally, these types of customers are going through a divorce or separation. The good news is that we have extensive experience and rich knowledge in dealing with these cases. Therefore, one of our open and honest Mortgage Advisors in York will work hard to help you with this.
Whatever situation you are in that would lead to enquiring about a second mortgage, we can help you as a fast & friendly Mortgage Broker in York. We have access to a large panel of lenders which allows us to search through 1000s of mortgage deals for you.
This means you will be provided with a service where you will be recommended the most appropriate product that is perfect for your situation.
Congratulations, you have now passed all of the necessary exams and now class yourself as a Newly Qualified Teacher. Now it’s time for the next step, which is for you to now make use of your new skills and find yourself a teaching job using your well-earned qualification.
Depending on where you’ll be working, you will need to start looking into the different options that are available for you with Moving House in York, as you could be working further away from where you currently live.
Later down the line, you may find yourself looking to move somewhere else, perhaps maybe finding it a little more challenging between finding the balance between homeownership and getting into your new role.
Throughout our time as a mortgage broker in York, we have worked with a lot of home buyers and homeowners, all of whom benefitted from speaking with one of our expert Mortgage Advisors in York, to take the stress away whilst they keep their minds focused on their new career.
We tend to find, that it’s not always so straightforward to search for a mortgage lender who will be happy to offer a mortgage to someone who is a newly qualified teacher. Problems tend to appear when there isn’t any work history they can look at or because they only have a non-permanent contract.
Although these can be an issue, there are still many options out there for Newly Qualified Teachers who are looking to obtain a mortgage. Over our time as a mortgage broker in York, our responsive team of Mortgage Advisors in York has helped many newly qualified teachers (NQTs) obtain a mortgage.
We aim to make the process goes smoothly, we have access to many mortgage lenders, whose criteria will be suitable for your situation, which in this case is usually what would be the most challenging part of the mortgage process.
When issues like these crops up, our experienced mortgage advice team in York will search through 1000’s of mortgage deals for you, doing everything we can to find you the most suitable deal for your situation.
Make sure to bear in mind that whilst yes, mortgages can sometimes be complicated for Newly Qualified Teachers, it doesn’t mean you are restricted in what is available to you on the mortgage market.
Below we have listed some of the different types of mortgages that crop up when working with cases alongside Newly Qualified Teachers:
There are some known mortgage lenders out there who do not need to see previous employment and may allow you to obtain up to a 95% LTV (loan-to-value).
Depending on the mortgage lender that you go with, you may find that a 12-month first contract is treated the same as a permanent job role, rather than just being seen as a temporary contract.
We tend to find, that there may be a selection of mortgage lenders around the country who are willing to get started on your mortgage before you officially start your job, though to do this you will have to provide evidence of a signed contract and a confirmation of your start date.
This can come in quite handy, as you may potentially be prepared to start making your first mortgage payments at the time when you are due your first month’s wages from your new job, by the time your mortgage has been completed.
Our open & honest team of dedicated mortgage advice experts in York have extensive knowledge and experience of helping customers across the mortgage and property markets, providing help to lots of first time home buyers with their mortgage needs.
There is a great deal of benefits to using the services of a trusted Mortgage Broker in York. We always strive to take away your stress, looking through thousands of different and tailored mortgage deals for you, our customer, suggesting possible conveyancing solicitors for you to use and more.
Find out what you may have available to you as a first time home buyer, by getting booked in online for a free mortgage appointment with an experienced and reputable mortgage advisor in York, who will collect information from you and help you onto the next step of your journey.
When lenders are requesting your bank statements, they will be looking into various things. By assessing these bank statements, the lender can get an idea of the type of person you are and how well they would be able to manage their mortgage payments. Through our experience, we have encountered numerous enquiries asked by applicants wondering if gambling transactions look bad on their bank statements.
As much as gambling can be a risky activity, we are not saying that it is an illegal act, however, lenders do judge applicants in a less favourable light if there are a large amount of gambling transactions in a shot space of time on their bank statements. You might have seen many gambling adverts on TV where they always urge customers to ‘gamble responsibly’, this is something in the mortgage industry we persuade too.
Obviously, it’s not the lender’s job to tell you what to do with your life with your finances or to lecture you on the rights and wrongs of gambling but, they do have a duty to lend responsibly.
Lenders need to demonstrate to the regulators that they are making judicious lending decisions. Therefore, it isn’t entirely unreasonable of them to have similar expectations of the people who are looking to borrow from them. Put it in this perspective, if you were to lend your own money, would you lend money to the individual who gambles or the one who doesn’t?
It is not illegal to gamble, therefore, the odd gambling transaction on your bank statement does not automatically mean you will be declined for a mortgage. On the other, these transactions will be judged by the lender as to whether these transactions are rational. Along with this, they will look at the frequency of these transactions, the size of the transactions in relation to the applicant’s income and the overall impact on the balance.
When the transactions are infrequent small amounts that make no big impact on a regular credit bank balance, then they are not likely to be regarded as important. On the other hand, if an applicant gambles most weeks and is constantly in their overdraft, the lender will see this as irresponsible and decline your application.
The reason lenders like to look at your bank statement is for them to understand your financial behaviour with managing money and can conclude whether or not they are confident in lending to you.
Lenders are financial institutions that, either directly or as part of a wider group, often sell current accounts, overdraft facilities credit cards and personal loans. With this in mind, you need to understand that these all factor in prudent financial planning. It’s important for a mortgage applicant to look into how these facilities work.
For example, if you occasionally find yourself in overdraft, this is not inherently a bad thing. Whereas regularly exceeding the overdraft limit is not so good. Furthermore, lenders will look for excess overdraft fees or returned direct debits as these would usually show that the account is not well conducted.
Credit transactions from pay-day loan companies; “undisclosed” loan repayments (e.g. if you said on the application that you have no other loans but here appear to be regular loan payment, this could be an issue) is just some of the things to look out for. They would also look out for outstanding missed payments and they might see how much of a typical month is spent overdrawn – i.e. if you only just go into credit on payday and for the rest of the month is overdrawn, how sustainable is this mortgage?
Be sensible and plan ahead, if possible. Usually, a bank would request up to three months of your most recent bank statements. This will show the lender your salary credits and regular bill payments. Therefore, if you are thinking of applying for a mortgage in the distant future make sure that you avoid any of the above pitfalls. It’s best that you take a break from gambling for a short time and work on presenting your bank account in the best possible light.
There are a number of lenders out there who may ask for fewer bank statements than others or some may not ask them at all, this is something a mortgage broker could help you with. Despite this, these lenders do still have the right to request bank statements in particular circumstances so it’s best you are prudent in the run-up to any mortgage application. It’s important you if you do gamble, please gamble responsibly!
Getting some specialist mortgage advice in AREA will benefit First time Buyer in York like yourselves, especially if you have little knowledge about mortgages. They can provide a helping hand with your application and look impressionable to lenders. Simply book online your free mortgage appointment to speak with one of our mortgage advisors in York today.
When it comes to removing a name from a mortgage, it isn’t as straightforward as it sounds. Many look at this option if they are going through a break-up, marital or otherwise, leaving joint ownership, or a rare case where you rather have the mortgage in one name.
Whatever the reason is, we have a team of hard working Mortgage Advisors in York who work around the clock to help you out by using their extensive experience as well as support you through financial separation.
This circumstance is one that we find is the most common. In some cases, a couple were tied to the mortgage but are looking to remove a name because they are getting divorcing/separating. Financial commitments should be a priority to sort out when going through a breakup.
If you do leave this until the last minute can create a lot of added stress that could have been avoided. You need to factor in time for the different companies you are financially tied to, like your mortgage lender, to process everything. This is something that will take time so be patient.
From your mortgage lender’s point of view, they will need to be sure that both parties will be able financially comfortable with only one income to draw from. For the remaining one on the property, lenders will need to be sure that they will be able to manage the monthly mortgage payments by themselves.
When it comes to taking a name from a mortgage, both parties will need to agree. Therefore, if one party disagrees, you will have to go through court proceedings. This can be costly, time-consuming and cause unnecessary negativity.
You will definitely find Specialist Mortgage Advice in York helpful if you are going through a difficult divorce or separation. Our team will be available to help sort out your mortgage.
This type of process is one that is surprisingly more simple than you would think, especially, with the assistance of a hard working Mortgage Broker in York.
This would involve the homeowner transferring equity to whomever they wish, whether it’s a family member or a friend. The mortgage will get transferred with the equity still inside of the home. As the new owner of the home, you will have to pass the lender’s eligibility and affordability checks.
When a member of the party isn’t keeping up with their end of the deal, the financial association can cause you problems. As an experienced Mortgage Broker in York, we have encountered this often and it’s usually because some of the party have fallen out.
If one person misses their bills, this may affect you also. One vital point you need to keep in mind is that signing for a mortgage with multiple names does mean you need to put your trust in their ability to manage their payments. If they miss any payments, it won’t only affect their credit score, but yours too.
If you find yourself in this situation, it’s wise that you get in touch with your lender. Another option that could be helpful to you is getting in touch with a Mortgage Advisor in York to see what you can do before the problem gets worse.
It may be clear that you are able to manage your monthly payments and have a good track record, but it’s that view your current situation from a lender’s perspective. You are still asking the lender to trust one income rather than two (or more if it’s joint mortgage) that they had originally.
A mortgage lender would favour the idea of both names being on the mortgage in order to improve financial security. Furthermore, they will want some form of a financial blanket if mortgage arrears or repossession occurs, as they will be able to chase two parties for payments. As well as this, the chances of being paid are reduced if there is only one party.
Removing a party comes down to affordability. In the case where you would like the home to be in your name, without your ex-partner or housemate, you will have to go through all the criteria checks that you would’ve done initially, so you can demonstrate that you are able to keep up with the monthly repayments by yourself.
It depends on the lender and your situation as to whether this will possible. It may be beneficial for you to seek help and support from a reputable Mortgage Broker in York.
You may find that, after speaking to an advisor, it is more suitable for you to switch mortgage lenders for a better deal in your sole name to ease any ongoing problems.
If you are struggling with this situation, we can help by providing Specialist Mortgage Advice in York in the hopes to relieve some of your stress. Get in touch today to see how we can help with your situation.
If you have been saving up for a property and are ready to finally put a deposit down on a potential new home, it is now time for you to get prepared for a mortgage!
You may be a first time buyer in York, jumping into the world of mortgages with no experience. You could be moving home in York, looking to get a mortgage on another property you have your eye on.
In any case, obtaining open and honest mortgage advice in York will be beneficial ahead of your mortgage process, as one of our trusted mortgage advisors will guide and support you all throughout.
Below are some helpful tips on how to get mortgage ready, including information that can help you be prepared for the mortgage application process.
Here at Yorkmoneyman, a member of our dedicated mortgage advice team in York will be on hand to provide you with help and guidance all throughout your journey.
They will be there to answer all of your mortgage questions, suggesting the most appropriate course of action for you to take.
A true benefit of obtaining mortgage advice in York is that you will be able to take a look into the amount you will be able to borrow for a mortgage, as well as gaining an understanding of your monthly costs.
Once we have carried out an affordability and borrowing capacity assessment, your designated mortgage advisor in York will take a look through 1000’s of mortgage products in order to find the best one for your circumstances.
In order to do this, they will request that you provide them with an up-to-date credit report, so that they can understand your current financial position.
In the beginning of your mortgage process, you will need to look at obtaining an agreement in principle. This should be a priority for you, as you won’t be able to make an offer without one.
As a mortgage broker in York, we are typically able to obtain this for you, within 24 hours of your initial mortgage appointment. This will hopefully mean you have one less thing to stress about.
In addition to this, you will need to provide some proof of your identity. This includes your name, where you live and how much you earn.
With a lot of paperwork required, it is best that you keep organised. Collect documents in advance and create a file for these, so that you don’t lose them.
As mentioned, you will need to prove who you are in order to get started with the mortgage process. It needs to be photographic like a driver’s license or a passport.
A driver’s license can also be used for proof of address, though if you use it for this, you will need a separate document as proof of ID.
Once again, as discussed above, you will also need to provide evidence of where you currently live. You can do this by sending in a utility bill or original bank statement that is dated within the last 3 months.
Other big factors in whether or not you qualify for a mortgage, are your spending habits and how well you manage your finances.
Bank statements will be able to showcase both of these to your lender, going into detail about what comes in and what goes out of your account.
Lenders will prefer looking at your bank statements as it shows you would be able to meet your monthly mortgage payments along with your other expenses.
Another factor that lenders may look at, is if you have any gambling transactions on your bank statements.
If you are a frequent gambler, this is something lenders will not like seeing because it is a spending habit that could potentially cause issues in the future.
If you happen to be a regular gambler, the lender likely won’t want to risk it affecting your ability to pay back a mortgage. Exceeding your overdraft on a regular basis or having consistent bounced direct debits will also be detrimental.
Further to the above point, you will also need to evidence where your deposit funds have come from. Doing this is important, and keeps everything in line with anti-money laundering regulations.
You will be required to answer questions about your deposit and how exactly you were able to raise the funds to cover that amount.
To avoid questions and looking suspicious, we would highly recommend that you avoid moving larger funds around from account to account. This would confuse the audit trail and flag up to the lender.
They like to see that you saved up your money for the deposit, preferably inside a savings account of some kind.
Throughout our time working as a mortgage broker in York, we have seen an large increase in the popularity of gifted deposits, especially amongst first time buyers in York, looking to find their footing on the property ladder.
When it comes to gifted deposits, you need to evidence this correctly, regardless of your mortgage scenario.
Gifted deposits are typically donated from a family member or friend. Whomever the donor is, they must verify in writing that this is strictly a gift and not a loan to be paid back.
In order to prove that you actually can afford a mortgage, you must also evidence your income. You will be required to show your last 3 months’ payslips and your most recent P60.
Elements such as regular overtime, commission, shift allowance and bonuses are something else that a mortgage lender will need to know about ahead of time.
If you are self employed in York, proving income is a little different to other applicants, as you will need help from your accountant by requesting a tax year overview.
It is recommended that you look into what your estimated outgoings are as this can help you with being prepared for a mortgage in York.
Looking at your outgoings, such as council and utility bills. This will be helpful when comparing with your other monthly expenses such as food and drink.
Bearing all of this in mind, you will be able to get a rough estimate of the amount of disposable income you will need to pay out mortgage payments.
If you are at the point of applying for your mortgage in York, it can be challenging to do alone. Going through the mortgage journey with an expert mortgage advisor in York can make this easier for you.
Book your free mortgage appointment using our online booking feature today. Choose a time slot that suits you, and speak to an experienced mortgage advisor in York, subject to availability.