If you’re thinking about getting a mortgage, there are a number of things that can affect your eligibility aside from a deposit
Applying and being accepted for a mortgage is a rigorous process and being prepared will significantly improve your chances of success. These are the key things you need to ask yourself:
How much debt do you have?
Mortgage providers want to lend to people who will be able to make their loan repayments, so they don’t want to see people with high balances racked up on credit cards or personal loans. Try to reduce your debts as much as possible before applying for a mortgage, as it'll show the lender you can manage your money responsibly.
Find out more about how to reduce your debt here.
Do you have proof of what you earn and what you spend?
When assessing how much to lend you, mortgage providers will want to see evidence of what you earn and what you spend. With this in mind, you’ll need a copy of your most recent P60, as well as six months’ worth of bank statements. As you gather together your bank statements, it’s worth scanning them to see if there are any areas where you can make savings.
Get expert help
The mortgage market is huge and can be confusing to navigate. Enlisting the help of a mortgage broker or financial adviser can prove helpful, as they can search the market for the best deals and give you help in completing the mortgage application.
More on getting started with money
Top 10: tips to manage your money
Monitoring where our money’s going can have a big impact on our attitude to spending and how much we save. Read our tips to help get you started.
10 steps to building a financial plan
Having a financial plan in place early on can make it easier to manage your money further down the line.
Five ways to save for your first house deposit
Saving for a deposit is one of the biggest obstacles in getting onto the property ladder, but being aware of the options available may help you to reach the sum you need.
The hidden costs of buying a house
Buying a new home can be more expensive than you think. Use our guide to discover all the things you’ll need to budget for.
Easy steps to help you save for your future
Saving for the future can seem like a daunting task if you’re on a fixed budget or low income, but there are a number of simple steps you can take to help.
Should you take your debt more seriously?
Borrowing to make purchases can leave you paying the price long after you’ve forgotten what you bought.