If you’re wondering whether you can afford to buy property right now, take a look at what’s happening with government schemes to help prospective home owners afford a house. Recent news shows that the government is concerned enough about the market to give home buyers a hand – especially first-time buyers. But is it enough? Will these new schemes help you get on the property ladder in a place like Essex?
Keeping Mortgage Rates Low?
Prime Minister David Cameron asserted his support for homebuyers in a speech in Colchester before the election. In it he said that he promised to keep mortgage rates low if his party won. He also said that he would deliver over 200,000 new starter homes within the starter home scheme in order to boost provision of affordable homes, particularly in hard-to-buy areas like Essex. The starter home scheme is available to buyers under the age of 40 who are buying property for the first time.
Getting a mortgage on a property can be tough, particularly if you do not have a high paying job or a large deposit. If you can’t see yourself fitting into the starter homes or any other scheme, here are some more ideas from the mortgage brokers Colchester offers for getting a mortgage in a tough market.
How to Boost Your Mortgage Chances
Before you apply for a mortgage, check that your credit score is in order by taking a look at it before potential lenders see it. If you do not have a great rating there are steps you can take to improve it. The sooner you look at your credit score, the sooner you can start working on the issues that could prevent you from getting a good deal on a mortgage.
Next, work out exactly what your budget is and what you can afford to borrow in order to buy a property. The amount you pay per month on your mortgage will depend on the mortgage deal you get, the interest rates, and how much you borrow. Once you have done the sums yourself you can work with a mortgage broker to see which deal is best for you. If you are looking for a mortgage broker Colchester provides an excellent selection. Make sure that you go with someone impartial in order to get the best deal available to you.
You can also look at your own financial and work circumstances to see where you can improve your financial chances of getting a good mortgage deal. For example, if you have only been with your employer for a few months it may be worth waiting a while before you apply for a mortgage. This will also give you the chance to save more money for a deposit, which greatly increases your chances of getting a good mortgage deal in Essex. The bigger your deposit, the more choice you have and the lower your monthly repayments.