First Time Buyer

Experian_company_representative

MarkT1 wrote: »

Sorry - one more question.. My mobile phone contract runs out at the end of this month, would it have an effect if I renewed my contract soon, or would it be best to switch to a sim only deal once it expires and renew the phone once I have made the mortgage application? I know its best to avoid searches, but does anyone know if they will look at a mobile phone as a negative? Thank you.

Hi MarkT1,

Being a first time buyer its understandable that you would want your report to look as good as possible!

Opening a new mobile account will lead to a new search being recorded, and a new account (possibly two if a separate account is opened for handset costs) showing on the report.

New searches and accounts can cause lenders concern as they like to be able to see that you are running your existing accounts without difficulty.

With a mortgage account lenders are more likely to look into your report in more detail, to see the type of account you have opened, but it could potentially still have an impact.

You might also want to take a look at our video aimed at first time buyers here and wish you luck when you decide you are ready to take the plunge and apply!

Kind Regards
Neil