When you are looking for a mortgage deal then it is absolutely vital that you analyse your options and analyse the deals carefully as some deals maybe very similar but vary in one way or another. If you are a first time buyer then these slight variances between similar deals can be difficult to notice.
For example, a deal may have the same interest rate but one may require a booking fee and the other may not. Similarly, one of the deals may require you to open an advanced bank account which will also have certain monthly fees attached to it.
Therefore, it is absolutely vital that you consult a whole of market mortgage broker that can explain these differences to you and help you make sense of the terms and conditions behind the different mortgage deals available in the marketplace.
For first time buyers you may not be fully aware of the possibilities available to you as looking for a mortgage is a new thing altogether for you. The advantages of using a whole of market broker is that they have a wide range of deals from various lenders in the marketplace so they will be able to offer you the best deals that suit your financial situation. All brokers are regulated by the Financial Services Authority which means they act in your best interests and not theirs.
The advice you get will be based on your personal circumstances and be tailored to your financial requirements. After a consultation with the mortgage broker you will have a clear view about what type of mortgage you will be entitled to and how you need to start planning your finances. It is extremely important to remember that if you do not meet the necessary repayments on your mortgage, your home can be repossessed.
However, it is important to not finalise any deal until you are completely satisfied and understand every part of the deal such as the services you can take advantage of including overpayment and switching to better deals as they become available. Also be aware of the interest rate that your mortgage will revert back to once your current deal has come to an end.
Any rate you get when you first sign up is going to be better than the banks standard variable rate, which you will revert to at the end of the deal.
For first time buyers the more deposit you can put down the better the deal you will be offered. You can then decide whether you want to go for a fixed rate mortgage or a variable rate mortgage that will track the base rate and may mean your repayments rise or fall. Whatever your situation, consult with a whole of market mortgage broker who will be able to talk you through your options and offer you the deal that best suits your situation.