Mortgage Top Tips

Your home may be repossessed if you do not keep up with your mortgage payments

14th September 2023

Getting a mortgage can be daunting, but it doesn’t have to be. There are certainly a few things we would suggest to help reduce the stress and pressure.

Top tips for purchasing

Let’s start with 3 Top Tips for people looking to purchase.

Whether this is your first time buying a home or you are moving its still a big undertaking. Being prepared at every stage can help.

1) Speak to us, or a Broker, before viewing properties and getting your heart set on somewhere.

People always say to us ‘We don’t know where to start’ and I think the best place to start is by talking to a Broker. We help people every day and can clearly explain the process, what to expect and most importantly can give you some accurate figures for how much you can borrow and how much it might cost. Knowing these figures with a bit more certainly can reduce the likelihood of you getting your heart set on somewhere that might be out of reach.

2) Be Prepared!

You’ve spoken with your Broker and you know how much you can borrow, great! You book a viewing and the Estate Agent starts asking you for War and Peace and before you know it you are stressed and running around trying to get everything they need so that you can put an Offer in before all the other people the Estate Agent has told you are putting in offers on the house you want!

There are a few documents the Estate Agent will want to see:

  • An Agreement in Principle (AIP) – We can help with this and will talk you through it during the first chat.
  • Proof of Deposit – To confirm, along with the ‘AIP’ that you can fully fund the offer you are putting forward.
  • Name of Solicitor you are using – Again, this is something we can help with and can supply recommendations for.
  • Name of Mortgage Broker.

All of these we can help arrange quickly prior to you going for a viewing. That way, when you arrive you are fully prepared and you’re not chasing your tail if you love the place and want to put an offer it. It also makes you look great to the Estate Agent and Vendor as you are ready to go.

3) Be Prepared…again!

As well as the documents you need to put an offer in on a property, there are documents we’ll need in order to submit your application. It would certainly help to have these together somewhere ready for when you are asked for them. The most common documents are listed below.

  • ID Verification – Passport, Driving Licence, etc.
  • Address Proof – A recent utility bill, council tax bill, bank statement, etc.
  • Proof of Income – Latest 3 monthly payslips if employed. Latest two years Tax Year Overviews and Tax Computations if Self-Employed.
  • Bank Statements – Latest 3 monthly bank statements showing daily transactions and spending.
  • Proof of Deposit – A recent savings statement, gifted deposit letter, etc.

One final document that is key to making sure everything goes smoothly is A COPY OF YOUR CREDIT REPORT!

We recommend you download of copy of your report from Check My File.

Downloading and sending us a copy of your report via Check my File is a great way for us to see exactly what is showing on your report so that we can accurately research and disclose to the Lender. If there is anything unexpected, we can discuss and see if we can fix it before moving forward.

Top tips for Remortgaging

If you already have a property and a mortgage and your current mortgage product is coming to an end, what Top Tips can we give you.

A lot of the same advice as if you were buying really but with one major difference! ACT AS EARLY AS POSSIBLE.

Most lenders will allow you to reserve a new mortgage product up to 6 months before the end of your current rate. With rates currently on the rise, locking something in as early as possible can really help.

If you reserve a rate and the market continues to go up, no problem. Your rate is reserved and ready for when your current mortgage product ends.

If you reserve a rate and the market drops and rates improve, no problem. We can always look back at the market and switch you to a lower rate before your current product ends.

Acting as soon as possible is always a good idea.

So if you need to remortgage in the not-to-distant future:

  • Find out the end date of your current mortgage.
  • 6 months before this date, contact us.
  • We’ll search the market to find the best deal.
  • You supply us with the same documents we listed above for people buying.
  • We’ll apply for you and get everything ready to complete seamlessly.
  • We’ll also keep an eye on the market so if there are any positive changes, we can act quickly.

A lot of lenders, such as NatWest and Halifax, will allow us to look into the details of your mortgage for you. If you provide us with your mortgage account number, we can log on to their online portal and provide you with all of the information!

We are always happy to have a chat with anyone, at any point in the process. There is no charge for an initial chat. If you have any questions about buying now, buying in the future, or remortgaging GET IN TOUCH.

Tel: 01174520330

Email: Enquiry@lloydwellsmortgages.co.uk

The information contained within was correct at the time of publication but is subject to change.