First Time Buyer Mortgage Advice

OXFORD_SMOGGY

Hi all, looking for some ideas to get the ball rolling. Am currently renting but looking to move in August. We are looking for a house in around the 300k mark. I have printed off the mortgage guide off here and about to take the first steps going to banks and asking what mortgages they can provide.


Brief background:

Me- 29 years old been renting since leaving Uni for Uni at 18, living in ten different properties over the last 11 years, few late bills, non payments while at Uni. Work in financial/trading sector.

The Mrs- 26 years old, lived at home all life apart from 4 years away at Uni in shared house. Been renting with me together since August 2013. Perfect credit history never paid a late bill/credit card etc. Work in NHS.

Financial Info

70k joint income with potential of 5-10k bonus on average.
We have 50k saved up for deposit and fees

Questions:
1. What do you think we would be offered as a mortgage? 300k? 4 times our salary, 5?
2. Which bank is best to go with, Halifax, Nationwide? Better deal to go with your own bank? Do you get better interest rates shopping around?
3. Current climate, better to buy a cheaper house and do it up with a view to move in a few years and make some money, or best to buy the most expensive we can afford to start with?


Thanks for your advice

amnblog

1. Focus on 4 times salary - how much you eventually need will be driven by the property you find.
2. Consider all the lenders on the market - don't limit yourself (use a broker)
3. Get the best property you can afford regardless of decorative state. The property type and location is the key thing.

OXFORD_SMOGGY

Excellent thanks very much, so you'd would advise me to go to every bank and lender and get a mortgage quote? Surely I don't need a broker for this, will only need to get a broker involved when I find the best possible deal.

ViolaLass

OXFORD_SMOGGY wrote: »

Surely I don't need a broker for this, will only need to get a broker involved when I find the best possible deal.

To do what? You'll have done their job for them at that point!

amnblog

OXFORD_SMOGGY wrote: »

Excellent thanks very much, so you'd would advise me to go to every bank and lender and get a mortgage quote? Surely I don't need a broker for this, will only need to get a broker involved when I find the best possible deal.

My answer is poorly written, apologies.


Do not limit yourself by going direct to lenders. Use a broker who can consider the whole of the market.

OXFORD_SMOGGY

Ok great how much of a better deal could a broker get realistically, surely they can get a better interest rate in comparison to going round and asking yourself

ViolaLass

OXFORD_SMOGGY wrote: »

Ok great how much of a better deal could a broker get realistically, surely they can get a better interest rate in comparison to going round and asking yourself

Why not just try it?

OXFORD_SMOGGY

Got given some advice that best way to approach it is use a comparison site to filter best mortgages and then apply for a mortgage in principal with those institutes, no broker needed if you are financially savy!

ViolaLass

OXFORD_SMOGGY wrote: »

Got given some advice that best way to approach it is use a comparison site to filter best mortgages and then apply for a mortgage in principal with those institutes, no broker needed if you are financially savy!

My broker didn't cost me anything but you do what works for you.

drdpj

Nor mine. A broker will, however, know whether you're a fit for a lender or not - best buy tables/comparison websites don't tell you that. That in turn may save you firing off multiple AIPs, each of which will involve a credit check which, if there are too many in too short a period, may find you getting refused credit.

It is absolutely possible to do it on your own (done so myself) - it's just potentially much more of a pain in the bum, especially as an FTB where there're multiple other things to worry about... It's quite nice to have someone on your side not only dealing with the mortgage company, but also telling the estate agents where to pop it when they start trying it on with various things.

OXFORD_SMOGGY

What how do they work for free don't get it?