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First time buyers continue to struggle

First-Time Buyers across the UK are finding it a struggle to afford their first home. This seems to be an ongoing issue over many years. Saving for deposits.

First-Time buyers across the UK are finding it a struggle to save the necessary deposit for a house and obtain a decent rate of interest. In many cases 10% or 15% deposit was needed with the average deposit across the UK reaching in excess of £30,000.

Making it near impossible for first time buyers to save and pay their rent at the same time.




Average age of first-time buyers

As the prices of houses continue to climb and the supply of affordable houses lags behind demand, the average age at which individuals and families are able to purchase a home of their own is rising.

The average age of the first-time buyer is now 30 years across the UK. This is up from 29 in 2011.



We can help you out!

Struggling to save the necessary deposit to get that keen interest rate. Don't worry, we're here to help.

There have been, year on year growth in the number of first-time buyers being approved for loans across the UK in recent years, with 2016 seeing the largest approval rates since 2008.

95% Loan To Value Mortgages For First Time Buyers

First Time buyers continue to strugggle

We have a number of lenders offering deals requiring just a 5% deposit.

With just a 5% deposit we have lenders offering the following deals.

2 Year Fixed rate at 2.79% with a £999 Completion Fee

3 Year Fixed rate at 3.19% with a £499 Completion Fee

The above rates also apply to those looking to remortgage and capital raise for home improvements.




Budget for the other costs of buying a home

Apart from your monthly mortgage payments, there are others costs when buying a home.

These include:

Survey costs
Solicitor's fee
Removal costs
Buildings insurance
Initial furnishing and decorating costs
Mortgage arrangement and valuation fees
Stamp Duty (Land and buildings Transaction Tax in Scotland, or Land Transaction Tax in Wales)
First-time-buyers will pay no Stamp Duty on the first £300,000 for properties worth up to £500,000




Make sure you can afford your monthly repayments

As a first-time home buyer, it can be prudent to budget before you start looking for a property to make sure you can really afford to take this step.

There will be strict checks when you apply for a mortgage.

Lenders will ensure you can afford your mortgage and even 'stress test' your ability to make your payments if interest rates were to increase or your circumstances change, such as starting a family or even retiring.

As part of your mortgage application process you will need to show the lender evidence of any outgoings you have and prove your income.




Someone else can guarantee your mortgage

If you're struggling to get a mortgage to buy your first home, you might want to consider a guarantor mortgage.

This means a parent, guardian or close relative agrees to be responsible for paying the mortgage if you cant.

Guarantor mortgages shouldn't be entered into lightly. They're legally binding arrangements.

Your guarantor needs to be able to afford to pay your mortgage if you get into difficulty.

You'll need to talk to a mortgage broker to find out more about which lenders offer guarantor mortgages.