Lenders have a very important reason for requesting access to your bank statements: they aim to gain a deep understanding of your financial habits and recent financial conduct.
Your financial management, as revealed by your bank statements, plays a central role in determining the amount a lender is willing to lend you, if they are willing to lend at all. This assessment primarily revolves around managing risk.
Lenders need to be confident that you exhibit financial responsibility and can manage your financial commitments reliably. This becomes especially significant because a mortgage represents one of the most significant financial commitments you will make in your lifetime, and it requires thoughtful consideration.
Acquiring your bank statements is a straightforward process, and there are various methods to obtain them. These include receiving physical copies by post from your bank, visiting your local bank branch to collect them, or accessing printable versions through your bank’s online platform, a convenience widely available in today’s digital banking landscape.
Now, let’s dive into the central question: What specific elements will lenders closely examine on your bank statements, and what might raise concerns from their perspective?
As previously mentioned, the primary goal is to assess your financial responsibility. One critical aspect under scrutiny is the presence of overdrafts. Occasional use of your overdraft facility isn’t necessarily a cause for concern. However, if you consistently exceed your overdraft limit, this could raise doubts about your financial prudence and reliability.
Lenders also pay attention to returned direct debits, which might suggest inconsistent reliability in meeting financial commitments. Additionally, it’s important to be transparent about any existing loans during the application process.
Failing to disclose them could erode trust with the lender, especially if they uncover undisclosed financial obligations on your bank statements. Trust plays a pivotal role throughout this evaluation.
Furthermore, it’s essential to maintain a track record of timely payments for personal loans and credit cards. Demonstrating your ability to manage your finances responsibly and meet monthly payment deadlines is likely to make lenders more inclined to approve a loan amount closer to your desired borrowing amount.
This is a frequent question that we encounter quite often. Many customers face challenges when they have a history of gambling activities.
While the occasional bit of entertainment through betting is harmless, engaging in frequent high-stakes gambling, whether it results in profits or not, can have a notable impact on how a lender perceives your financial situation. In such situations, lenders are unlikely to view your circumstances in a positive light.
Leveraging our extensive experience in helping first time buyers in Leicester and home movers in Leicester, it’s worth noting that most mortgage lenders typically request a minimum of three months’ worth of bank statements from applicants.
Given this requirement, it presents an ideal opportunity to shift your focus from the past to the future. You now have a dedicated period of at least three months to enhance your financial situation. One prudent step to consider is taking a hiatus from frequent visits to local bookmakers or online gambling platforms.
This break can have a positive impact not only on your financial health but also on your overall well-being. Additionally, we recommend exploring strategies to save money during this timeframe.
Simple adjustments, such as choosing to cook at home instead of dining out, trimming unnecessary expenses, and discontinuing redundant subscriptions, can free up extra funds to ensure that your bills are promptly settled.
In essence, the key here is to exercise sound financial judgment and engage in proactive planning well in advance of your intended financial endeavours. The farther you distance yourself from periods of financial instability and debt, the greater your prospects will be when engaging with a lender.
No matter if you’re a first time buyer in Leicester, currently in the midst of moving home in Leicester, or are self employed in Leicester, maintaining a strong handle on your financial situation is consistently important.
If you happen to be facing challenges related to a less-than-ideal credit history and are uncertain about the way forward, we strongly recommend seeking specialised mortgage guidance in Leicester by reaching out to us today.
Our dedicated team is fully committed to offering the most comprehensive advice to help you throughout your mortgage journey. Please don’t hesitate to get in touch; we are here to help you in effectively navigating your financial path.
Whether you’re a first time buyer in Leicester or looking to remortgage in Leicester, choosing the right property survey is very important.
Our team of experienced mortgage advisors in Leicester are here to help you navigate this process and select the best survey option for your needs.
When you apply for a mortgage, the mortgage lender will conduct a property valuation to assess its value and evaluate the associated risk. There are two main types of valuations: physical and automated.
Physical valuations involve a surveyor visiting the property to assess its condition, which is particularly beneficial if the property has undergone renovations or has specific features that need closer examination.
On the other hand, automated valuations rely on an online database to compare the property to similar ones in the area. While automated valuations are faster, they may not always provide the same level of accuracy as physical valuations.
It’s worth noting that some mortgage lenders may offer a free valuation, although this can vary.
Mortgage valuations are generally the least expensive option as they provide a basic assessment and don’t delve into extensive property details like other types of surveys, which may identify potential concerns or issues.
If you’re considering purchasing a property, it’s highly recommended to obtain a homebuyer report to ensure its safety and overall quality.
During the inspection, a thorough examination of each room in the property will be conducted to identify any potential issues that may require further investigation or immediate attention, such as dampness, mold, or problems with the ceilings.
The homebuyer report will also assess the property’s compliance with current UK property regulations and highlight any legal matters that should be addressed prior to finalising the purchase.
It’s important to note that homebuyer reports offer more comprehensive insights compared to basic mortgage valuations, which is why they come at a higher cost.
Some mortgage lenders may provide the option to include a homebuyer report for an additional fee, while you can also choose to obtain an independent homebuyer report from a qualified and accredited surveyor.
It’s worth mentioning that a homebuyer report may not be suitable for certain types of properties, such as listed buildings, older properties, properties that have undergone extensive modifications, or those in need of significant modernisation.
Please be aware that a homebuyer report typically does not include a market valuation, but this service may be available for an additional fee if required.
A building survey is the most comprehensive and detailed property report available, suitable for all types of properties and particularly beneficial for older ones. It provides a thorough assessment of the property’s condition, identifying necessary repairs and potential upgrades.
During the building survey, you will receive information regarding any legal issues, areas of concern, possible defects, and expert advice on how to address these issues. The report may also include a repair timeline, comments on energy efficiency, and details on the construction of the property.
Furthermore, the building survey encompasses a comprehensive visual inspection of broader aspects such as the roof space, ground floors, and services. Due to the extensive level of detail provided, this type of survey typically comes with a higher cost compared to other surveys.
It’s important to note that your mortgage lender may not automatically offer a building survey, but you can inquire about adding it to your valuation for an additional fee.
Similarly to homebuyer reports, a building survey usually does not include a market valuation, although this service may be available at an additional cost.
Obtaining a building survey ensures a thorough understanding of the property’s condition and any potential issues, allowing you to make informed decisions regarding necessary repairs or upgrades.
During the process of a homebuyer report or building survey, certain issues may be identified that require additional investigation and specialised reports.
There are several types of specialist surveys and reports that can be conducted, depending on the specific concerns raised. These include damp and timber reports, roof inspections, drainage assessments, gas and electric evaluations, asbestos inspections, and central heating assessments, among others.
If any of these issues are flagged during your property inspection, we can help you in finding a local specialist who can conduct the necessary investigations and provide detailed reports on the specific areas of concern.
It’s important to address these issues promptly to ensure the safety, functionality, and longevity of the property.
Unsecured credit requires careful consideration. We frequently speak with customers seeking specialised mortgage advice in Leicester due to issues like missed payments, low credit scores, CCJs, and defaults.
Even a series of missed payments on a mobile phone contract can result in a default on your credit file, which can complicate future mortgage applications and suggest a lack of payment reliability.
Fortunately, having missed payments or defaults doesn’t necessarily spell the end of your mortgage prospects. While it may require specialised mortgage advice in Leicester to navigate the process, there are still potential options available to you.
While a lower deposit may decrease your chances of approval, having a sufficient deposit size can make a mortgage feasible, even with bad credit. When applying with a specialist mortgage lender, they will inquire about the timing and reasons behind any defaults registered against you.
The further in the past the default occurred, and if there is a valid explanation, such as a significant life event, the higher your chances of achieving mortgage success.
Everyone makes mistakes, and if your default was a genuine and honest error, the mortgage lender may show more understanding and leniency during the application process.
Here is a selection of commonly asked questions about bad credit mortgages along with their corresponding answers. If you don’t find your specific question or situation addressed below, please don’t hesitate to reach out to us.
Our experienced mortgage advice team has dealt with a wide range of complex mortgage scenarios and may have encountered a situation similar to yours before. We are here to help you in any way we can.
Prior to applying for a mortgage, it is important to provide your mortgage advisor in Leicester with an up-to-date copy of your credit report. You can typically obtain this report online for free.
Obtaining your credit report is especially important if you have concerns about your credit history. It helps you assess your financial standing and prevents multiple unsuccessful credit searches, which can negatively impact your credit rating and potentially hinder your mortgage application.
The answer to this question varies based on your specific circumstances. Many customers find themselves puzzled by their credit score and seek assistance in understanding why it may pose an issue.
While some customers may have a favorable deposit and a steady income despite a less-than-ideal credit score, mortgage lenders may still be hesitant to approve their borrowing due to the associated risk.
Mortgage lenders need assurance that you can consistently meet your mortgage payments without the risk of falling into arrears. Repossessing your home is something they aim to avoid whenever possible.
Despite the challenges, options for bad credit mortgages do exist, albeit with higher interest rates.
To navigate this process effectively, it is highly advisable to schedule an appointment with an experienced mortgage broker in Leicester who can guide you through the available options and help you make informed decisions.
Financial difficulties can arise unexpectedly, leaving you struggling to meet your mortgage payments despite previously having no issues. Unfortunately, even temporary setbacks can result in missed payments being recorded on your credit history.
When it comes time to remortgage in Leicester, buy a home as a first time buyer in Leicester, or move to a new property, these credit challenges can present obstacles. Mortgage lenders assess the risk involved and determine whether they can trust you to avoid similar situations in the future.
As experienced providers of transparent and specialised mortgage advice in Leicester, we have helped numerous customers who were previously tied to a mortgage and now face a poor credit history.
If you find yourself in a similar situation, consulting with a fast and friendly mortgage broker in Leicester can greatly benefit your journey toward achieving future mortgage success.
During the mortgage process, customers may encounter various bad credit issues that can lead to significant challenges. These issues include, but are not limited to:
While these circumstances are less than ideal, they don’t necessarily mean the end of the road for you. Although you may face a longer and more arduous process with higher mortgage rates, there are specialist mortgage lenders who can potentially offer assistance.
To improve your chances of mortgage success and gain access to better rates, it’s important to focus on enhancing your credit score. By taking steps to improve your creditworthiness, you can pave the way for a more favorable mortgage outcome.
If you require expert and transparent mortgage advice in Leicester on bad credit mortgages in Leicester, we invite you to book your free mortgage appointment online. Our team of experienced mortgage advisors in Leicester is here to help you.
With over 20 years of mortgage knowledge and expertise, we are dedicated to developing a clear plan of action for your credit score prior to the mortgage process. Our ultimate goal is to help you secure a mortgage of your own.
Take advantage of our experience and schedule your appointment today. We look forward to guiding you towards a successful mortgage journey.
It’s essential to plan your mortgage journey, it’s that first step to take before starting the process. Doing so could give you the upper hand and put you in front of other buyers. Preparing a mortgage agreement in principle should be at the top of your list before you start viewing properties.
It’s always to consider every possibility. In this unfortunate situation, you may have planned a mortgage to the last detail but ended up separating. This will require you to take out a mortgage as the sole applicant with no time to plan.
As an expert Mortgage Broker in Leicester, when you are looking at moving house in Leicester. We do recommend that you start planning your mortgage six months prior.
In some circumstances, the mortgage process can throw many hurdles which is why planning is essential. By preparing for any hurdles you may encounter, you should be able to work out what to do to overcome them.
Having worked in the mortgage industry for over 20 years, we have witnessed a large variety of mortgage problems. Even in the final stages of the mortgage journey, some occurrences can negatively impact the process, however, they can sometimes be solved if you prepare enough, or have a Mortgage Advisor in Leicester by your side.
Below are some common problems we have found customers encounter during their mortgage process:
By preparing six months before starting your mortgage journey, you may be able to avoid some of these problems.
For some first time Buyers in Leicester, saving up for a deposit can be the most difficult part, especially for those who aim to achieve their mortgage goals while currently renting. Will understand that saving for a deposit is a timely goal.
In the circumstance where you are struggling to reach the initial deposit total, you may be able to get financial support from your family through a gifted deposit. This amount gifted can be either the entire amount or a contribution.
Maybe one of the Help to Buy schemes can help give you a small deposit boost. There are many schemes available that are designed for applicants needing support with deposits. These are usually popular with many first time buyers in Leicester as a way to get them on the property ladder. There could be a scheme out there that suits your circumstances.
Credit scores are a huge benefactor when it comes to applying for a mortgage. If you have a poor credit score, this can lower your chances of a lender accepting you for a mortgage.
We recommend you use Check My File to see your insights into your credit score. By doing this, you will be able to obtain a copy of your credit report which our team will be able to look at free of charge.
On your mortgage application, you must look after your finances. Every lender will carry out a thorough analysis of your bank statement and will look at all your income and outgoings. Gambling transactions are something that will catch Lender’s eye especially if they are frequent and erratic outgoings.
In the fortunate case where you can receive a gifted deposit, make sure to keep that sum of money in the gifter’s account. That way, you will not have a large bank transfer in your account that lenders would question about.
Therefore, it’s wise to keep this gifted deposit inside of your family member’s or friend’s account.
We tend to find some self employed applicants in Leicester, you may find the mortgage journey a little bit different compared to a regular full time employment applicant.
The evidence you will need to provide as self employed will include at least one year of accounts and three months of bank statements to show your income and affordability. In some cases, you may need to provide additional evidence, however, this just depends on the lender.
Through the mortgage journey, you may come across a range of mortgage hurdles that could stall your purchase completely. One of these includes a break in the property chain. A mortgage broker in Leicester like us will be able to help you overcome these hurdles. We are here to support you 7 days a week.
If you have a specialist or complex case, look at getting mortgage advice in Leicester. Our team can provide you with a helping hand through your mortgage journey.
When you are going through the mortgage journey, there is a small chance that you will encounter some kind of issue. Sometimes, these can be challenging to deal with!
Having worked in the mortgage industry for over 20 years, we have a vast amount of experience as a trusted Mortgage Broker in Leicester, and have encountered a vast range of mortgage hurdles throughout the years.
This means that it’s very likely we have encountered your situation before and will have an idea of how to overcome it.
On the rare occasions that we haven’t encountered your circumstance before, we will work hard in finding the best solution to help you along the mortgage journey. The hurdles you may face can be ones you are unaware of especially if you are first time buyer in Leicester, however, we hope to help you with this.
With a plethora of mortgage hurdles out there, it would be a challenge to cover them all. Below highlights the top five hurdles you may encounter in the midst of your mortgage process.
Having your mortgage application turned away due to you having children is a rare occurrence, however, it can put you at a bit of a disadvantage if do.
The lender wants to be fully certain that you can manage all your mortgage payments as well as current expenditures. Childcare costs do come under the expenditure umbrella each month.
The reason why lenders have to factor this in is because these costs can often go into hundreds of pounds per month. Generally, childcare costs never decrease, they are always going up! From a lender’s point of view, childcare costs are the same as a car loan or hire purchase agent cost.
Regardless of if you don’t pay nursery fees, having children can mean you are offered less than other buyers who don’t have children. One advantage is that this type of family can usually be in receipt of tax credits and some lenders will acknowledge this along with child benefits.
In the unfortunate circumstance that you decide to separate from your partner, you may encounter some problems relating to finances, especially if you have one together.
If you are still financially linked with someone else, lenders may struggle to accept your application. This is because they don’t want you to have two different sets of mortgage payments to meet each month as it might be a lot to handle.
Our team often get asked the same questions when people reach out to us for specialist mortgage advice in Leicester, below are just a few:
If you are faced with mortgage hurdles like these, it can get very challenging, very quickly. The good news is that there is often a solution to these scenarios, it’s just working out the steps to overcome them. Having a Mortgage Broker in Leicester to provide a helping hand, you will have a lot of weight lifted in these difficult times.
When it comes to benefit income, different lenders will have varying viewpoints, one is how they are going to assess it. The good thing is that all benefit income like child tax credit, working tax credits, disability benefits and pensions can all be factored in one way or another. The lender decides whether to consider it or not.
Feel free to contact our team if you are looking for more information about mortgages and benefit income. Here at Leicestermoneyman, we will look over your situation for you and try to match you with a lender that will consider your benefit income, our goal is to get it right first time!
In many cases, a new job includes a larger salary. This additional income is usually put towards something like a new mortgage. You may think this means you have a higher chance of getting a mortgage, but this is not always the case.
It’s common to have a probationary period when you start a new job. Probationary periods are usually okay, but there will no doubt be some uncertainty there. You might a lender will only accept you when you have job security, it depends on the lender and mortgage costs.
To determine your work patterns, lenders will look at your previous places of employment. They need to know you aren’t jumping in and out of work. Gaps in employment can hurt your application.
You might find some lenders who will work from a newly signed employment contract even in month one or if your new job is about to begin.
All mortgage lenders and mortgage brokers legally need evidence of where the borrowers’ deposit funds come from. This is to prove that the applicant has raised funds legally and to combat money-laundering. Your solicitor and estate agent may request evidence of your deposit also.
This is the part of the process we feel is the most complicated when applying for a mortgage and can result in some mistakes if not carried out correctly.
Your deposit might be from savings, premium bonds, the sale of another property, gifted from a family member or friend, from family overseas, or from a personal loan, either way, you need to have the paper audit trail for the accumulation of funds.
Good job! You have just achieved a massive goal after passing all of the required exams to become a Newly Qualified Teacher. It is now time for you to find yourself a job within the classroom, utilising your teacher qualifications!
If you have found your dream job in teaching but you’re located in an area that isn’t ideal for your dream job, it may be time to start looking at your options for moving home in Leicester.
This will take you on a journey of finding a place to move, juggling the process of homeownership and getting settled in your newfound teaching role.
Through our time providing open and honest mortgage advice in Leicester, this is a situation we commonly come across. We have a brilliant reputation for helping lots of newly qualified teachers with their mortgages whilst they focus on their careers.
It may be quite challenging to try and find a mortgage lender who will want to offer a mortgage to a teacher who is newly qualified.
The common reasons behind this is that the applicant has no work history or that they are on a temporary contract.
The good news is that it’s not impossible to find a mortgage for a Newly Qualified Teacher. This is where our team of dedicated mortgage advisors in Leicester can help as they have excellent knowledge and experience in this.
Through their experience, they have seen some mortgage lenders have favourable deals on offer to people who are wrong within this specific work sector.
The overall goal is to find the best mortgage lender to go with, this can be the most challenging part of the process.
Here at Leicestermoneyman, our mortgage advice team in Leicester can look through thousands of mortgage deals with the aim to find a deal fitting for your situation and has favourable rates.
Even though it can be difficult, you are not completely restricted in the options that are available to you.
Below are some of the more popular mortgage types that we find are available to Newly Qualified Teachers.
Each lender has different criteria they follow which means there are different factors they take into consideration. You may find that some mortgage lenders do not need to see previous employment and may let you have access to up to a 95% loan-to-value.
In some cases, a 12-month contract may be seen in the same way as a permanent job role instead of being seen as a temporary one.
Finally, we have come across some lenders who are willing to begin the mortgage process before your start date as long as the applicant can provide evidence of a signed contract and a start date.
This can be really beneficial as you may be in a position where you are ready to start making your first mortgage payments with your first month’s pay from your new job by the time that the mortgage process has been completed.
We have a fantastic and hardworking team of mortgage advice experts in Leicester who have extensive experience and knowledge within the mortgage world. Through this, they have encountered a variety of home buyers in their mortgage situation.
Utilising the service of a mortgage broker in Leicester can have a lot of benefits, especially for those in the teaching industry. Our team will work hard in taking any stress away from the process, searching thousands of deals on your behalf whilst you can focus on your new teaching job. As well as this we can recommend a conveyancing solicitor and so much more!
We offer all our customers a free mortgage appointment with one of our expert mortgage advisors in Leicester who can help you explore all your mortgage options and get to know your financial situation in more detail.
During the start of your mortgage journey, you’ll most likely have to deal with an estate agent. If you end up in conversation with a larger estate agent, they will want you to use their own in-house team of mortgage advisors & conveyancers.
A lot of first time buyers in Leicester fall into this and are persuaded to use their services, usually spending more money than they otherwise would’ve had to.
The good news is that you don’t need to use their advisor at all, a point we’ll expand upon later on, and you may also open yourself up the either the same deals or better by going elsewhere.
Speaking to a Mortgage Advisor in Leicester outside of the estate agent could be a much better route for you to follow. The advisor working for the estate agent will give you a biased view that only benefits them and their profit.
A dedicated mortgage broker in Leicester will help you see the positives and negatives of each side. If you do still choose to go with the estate agents mortgage advisor, that is okay, though it’s important to remember that you have options.
We always aim to be transparent & efficient, looking to give the best possible experience and the best advice for our customers personal and financial circumstances, whilst providing a fast & friendly mortgage advice service.
If you do opt to use the services of your estate agent’s in-house mortgage advisor and conveyancer, have a good think about where their service cost is coming from.
They could potentially be charging you for their services without asking you and adding it onto the costs of other services, hoping you won’t notice.
Taking on expert mortgage advice in Leicester will reduce your concerns of this, as you will be well informed and aware of what you’re paying for. Your dedicated advisor will break down the cost of everything for you.
Even though it is highly illegal for them to do so, if you have opted not to use their services, they may refuse to put your property offers forward.
For example, you could be instead using the services of a mortgage broker and they may push forward someone else’s offer to completion over yours, purely out of spite that you didn’t use their services. Once again, this type of practice is illicit behaviour.
Estate agents may get even attempt to charge their customers extortionate fees for in-house conveyancing. Even with a straightforward purchase, you may find yourself being charged somewhere within the realm of £1,500, which is far too much.
Any time this occurs, you have full consumer rights to be given a full breakdown of exactly why it costs this much and where their calculations came from.
An experienced mortgage broker in Leicester will only want to do right by the customer. By coming to us for mortgage advice, you can avoid the tactics mentioned above.
Making sure you use the right Mortgage Advisor can be difficult; but can you make it easier?
From time to time, mortgage cases may require specialist care from a trusted mortgage advisor in Leicester. The in-house mortgage advisors from the estate agents don’t care for the details, so long as they can make a profit from it, even if it’s detrimental to you.
Speaking to an expert mortgage broker in Leicester you’ll find yourself matched up with an appropriate advisor with experience in a situation that’s at least similar to yours. They will work with you to ensure you get the right outcome.
An example of this would be the buy-to-let mortgage experts we have on hand for any landlords, new or experienced, looking to get a mortgage.
Once you’ve completed your free mortgage appointment and obtained an agreement in principle (we can normally get this for you within 24 hours of your appointment), your mortgage process can finally get underway.
We utilise our many collective years of providing open & honest mortgage advice in Leicester, helping thousands of customers achieve their home owning goals and dreams. Our customer reviews are a great inside look at how much of a difference our service makes to homeowners.
Some people would rather take on the world of mortgages by themselves, and this is okay! The internet is a wonderful place and you can now do most of what you would need to do, by yourself on your browser.
By utilising price comparison websites, you may be able to find the best mortgage deal for your circumstances through your own research and understanding.
An obvious benefit to doing this would be that you’d save money on additional fees. Providing you have confidence in what you’re doing and understand the process, you could get through it awfully quick, more so than someone going to their bank.
The catch is that online mortgage shopping is quite difficult to do. Before you make any agreements, you should always make sure you have the best fit for your circumstances. Here are some tips if you’re doing this;
Making an appointment with a bank to speak to a mortgage advisor may be challenging. This isn’t always the case, though it also may just be the wrong choice for you to make. Here are a few things to look out for;
Taking on the services of a mortgage broker that has no association with any estate agents ensures that you, as an inexperienced first time buyer in Leicester, have someone there to do the hard work for you, without any conflict of interest risks.
We work for you and only you, with no external ties. Whilst we do have mortgage lenders on panel, we don’t work for them, we simply match customers up to their various unique deals.
Our team do what they can to make sure you’re happy with your mortgage journey and the outcome you end up with. Managing Director Malcolm Davidson is here to explain both the positives and negatives of using a trusted mortgage broker:
As a first time buyer in Leicester applying for a mortgage, you need to be aware of your credit score. You will find that the least amount of addresses you have on your record, the better, though this seems to be something that people are more knowledgeable and aware of nowadays.
Our experienced mortgage advisors in Leicester have found they are many applicants who have moved out of their parent’s address into rented accommodation, yet believe that it is a good idea to keep their previous address registered on bank statements, credit cards, and electoral roll.
People believe this is beneficial despite being a flawed strategy. Almost every time, if you have moved to a new address, there will be some record of this on your credit report. Your address could be recorded from a delivery address when you have ordered something online or car/home insurance search and many more.
Getting all your accounts (credit cards/ current accounts) and electoral roll changed over to your new address can be the best strategy when you are thinking of taking out a mortgage. At the time of updating your address on your credit file and electoral roll, it’s best to double-check the date in and date out. The consequence of making mistakes with these dates is that it may appear on your records that you are living in two places at once.
This will show a more open and honest way of trying to apply for a mortgage which will benefit you greatly in your mortgage application and when it comes to approaching a mortgage advisor in Leicester.
As could likely be predicted, we personally feel like there are some really great reasons why you should use a mortgage broker in Leicester. This isn’t born out of bias, however, as we understand there are pros and cons to both, no matter if you’re a first time buyer in Leicester, looking to remortgage in Leicester, or have another situation.
Regardless of if you’re going via a branch or online, you are still able to go direct to the mortgage lender yourself. Below are all the pros and cons to either of your options.
When thinking about going direct to a bank or building society, the first thing that springs to mind is that you won’t be required to pay a broker fee, which in turn would possibly save you money. In the past, another positive that people thought of was “the bank manager knows my finances inside out”, though after credit scoring systems were introduced, this no longer became a factor.
On top of this, some mortgage lenders will have exclusive mortgage products on offer, that can only be obtained by going direct. They offer these as a way of attracting a good spread of business from their consumers and other brokers, turning exclusive products on and off whenever they believe it to be necessary. On the other side of the coin, some products may only be accessible by going to the broker and not by going direct to the lender.
From 2014 onwards, lenders were restricted from selling their mortgages on a non-advised basis to any customers of their services (those with bank accounts, for example). Up until that point, some applicants felt like members of staff who were not qualified for giving advice, were pushing their services on them.
They also felt like they weren’t able to benefit from some of the consumer protection that would normally come with mortgage sales performed by professionally trained mortgage advisors in Leicester.
The changes took a long while for lenders to come to terms with and towards the back end of 2014, it was not uncommon for customers to have to wait a long time to get a mortgage appointment. This is unfortunately still the case today sometimes. When you have had an offer accepted on a house, this is the last thing you need or want!
Because of the issues present with going direct, much like the wait for an appointment, more and more applications were made with mortgage brokers who could freely offer a same day service, something we are able to do ourselves. When you get in touch with us, we get you booked in with a mortgage advisor in Leicester as quick as we can, either on the same day or at your earliest convenience.
Affordability is an important factor too, as the quality of a lenders deal won’t matter if you have no way of affording it. Buying a house is such a large step in people’s lives, that they often would rather get professional and personal advice from a qualified and experienced mortgage advisor in Leicester.
Nowadays we find that a lot of mortgage applications aren’t as simple anymore. For whatever reason it may be, there are so many things that can make a case more complicated. Some examples of these are:
In the past, mortgage lenders were able to stand head and shoulders above the competition by simply offering a deal that was similar to one offered by another lender, but with slight differences to make it more appealing. Fast forwarding to where we are now and it is all so much more different, with lending criteria being the difference maker between deals and lenders.
An example of this, is that some lenders may lend more than other lenders might have to Self Employed applicants. Some also take a more sympathetic view on previous discrepancies that are showing on your credit report.
Your situation will be unique to you. It may be similar, but it will never be the same as another case. When you explain your position to an experienced mortgage broker, it is highly likely that there will at least be at least something similar that we have encountered before, allowing for a more personalised service. Hopefully, our hard working mortgage advisors will be able to get you a favourable deal with good interest rates.
It’s more than just getting a mortgage though. Even if the application itself is fairly easy, our customers who are first time buyers in Leicester rely on our experience and knowledge for more insight into the mortgage process.
For example, we are able to sit and discuss how much they are going to offer on the property they are buying. From there, our team of mortgage advisors in Leicester can recommend our customers other necessary professional services such as solicitors, whilst also explaining the different types of property survey and protection that is available to them.
One of the main pros of using a mortgage broker in Leicester, we believe, is that we are a lot more responsive than the mortgage lenders have been known to be. Our team work from early until late, all throughout the week (including out of hours), dedicated to our customers and ensuring the process is as speedy and stress-free as it can be.
Something that does get overlooked from time to time when looking at why customers may prefer to use a broker, is that everyone nowadays everyone has such a busy schedule. You might need a mortgage but don’t have the required time to sort it out. In these cases, your mortgage advisor can take the weight off your shoulders and work through it for you.
Professional applicants especially will see the benefits of this service, as they have clients of their own that they charge out their services to and often don’t have the time to work through it themselves. The customers we deal with regularly appreciate the benefits of having an expert on their side.
Perhaps in the future we’ll see lenders wanting to limit their links to brokers and wanting to take their business back. If this does happen, we don’t see it being likely that they will hire more staff in their branch networks. The future of all industry seems to be based around technology and the mortgage market may very well be heading this way too.
That may work for customers who are more than happy to do business with a “robo-advisor”, especially for cases that are easy and don’t require a thorough analysis. For the majority of people, however, there’s an element of “realness”, that “human touch” that can’t be obtained by going this route, and can only be found by speaking to a real mortgage advisor in Leicester.
To find out more information on our service or to present any mortgage queries that you have, please Contact Us and we’ll book you in for an appointment with a mortgage advisor in Leicester as soon as we can.
Obtaining a home as a first time buyer in Leicester will be one of the biggest purchases you will ever make. It’s best to take your time when buying a home, as you need to be sure that the property you are looking at ticks all the boxes for you. Therefore, you must ask important questions that will help you make a decision.
If you are unsure of what to ask the seller, have a look at our shortlist of questions you could ask:
In many cases, a new home that has been recently added to the property market can spark a lot more interest and become high in demand. Therefore, it’s best to act quickly to secure the plot. To have an insight into the amount of attraction there has been towards the house, you could ask the seller how many people have already viewed the property to see the amount of ‘competitors’ you may have.
A property chain is when you are waiting on the occupant that is in the property you are buying off to move out to their new property which they have to wait for. When it comes to a chain, it can mean that it will take longer to move due to the property already being occupied, however, if there isn’t a chain, this could mean you will be able to move in quicker.
From a seller’s point of view, a first time buyer in Leicester or someone who is not in a chain could be seen as more desirable as this could lead to a quicker sale. From a buyers point of view, these points can be a huge advantage and something to mention during your ‘negotiations’.
In some cases, new homes can come with ‘extras’ that could persuade you to buy the house. Sometimes this is intentional and other times, the seller may simply wish to leave their older furniture behind. If you’re looking at buying an older home, you may find that there are unwanted items included, such as outdated furniture or well-used appliances.
It’s wise to check just to clarify, are things like cookers, fridges, and carpets, for example, could be included in the sale (or offered at an additional price). Make sure you clear as you may be left with unwanted items that you then need to remove and dispose of.
Your experience with neighbours can make or break owning your own home. You risk losing enjoyment if you are stressed all the time with the people next door. Gaining an understanding of the neighbours can give you a good indication of what living there will be like, saving you that stress down the line.
Your personal criteria for the local area when hunting for a home, could be that you need a shop nearby or somewhere that’s only a short commute to work
Asking what the local area is like could mean you wanting to know about any leisure spots nearby e.g bars, gyms and restaurants or wanting to know what are the schools like if you are thinking of having a family in the future.
It’s best to do your research about the local area before committing yourself to any purchase. As people’s opinions are subjective so it’s best to make your own judgement.
Associated costs such as heating, council tax, water (newer homes tend to have a water meter) are something to ask as it is part of running a home that you need to know. Many people are more aware of the running costs involved in owning a home or if not, you could ask a family member or friend.
Even though the British weather isn’t always sunny, some people still like spending time in the garden. Therefore, you may want to ask if the garden gets as much natural light and whether it’s south-facing etc.
When you move into your new home, you will often find that you will want to decorate it to your tastes. Home improvements can be essential to some older properties due to many needing ‘fixes’ or repairs. You may want to make improvements on the property such as insulation, efficiency, or garden work.
Buying an older property can come with repairs on some items. The seller can fix these issues if you have requested it to happen before the sale goes through or, in some cases, the seller may reduce the price. There can be some minor repairs if you are looking at a new build because of settlement or simple faults you identify after you moved in.
To make you aware of the remedial fixes that would be needed on a property, you may want to look into the different types of property surveys. Our mortgage advisors in Leicester can help recommend the most suitable survey for your property. Generally speaking if it’s a new build property, you will only need a basic valuation as you would hope with the property being new, that it is structurally sound. Whereas, if you are purchasing an older property, you may want to look into a home buyer’s report or full structural survey which should outline any defects with the property such as damp, subsidence etc.
When you are buying a new home whether it’s a new build or older property, make sure you ask the questions you need to know about the house. Asking the right questions, may be the difference between you buying the property or not.