BANK RATE ANNOUNCEMENT
On 2 November 2017, the Bank of England announced that the Bank Base Rate would increase with immediate effective from 0.25% to 0.50%.
Getting a mortgage and moving into your first home can be a long and daunting process especially if you're unsure of which route to take. We have a full Homebuying checklist available as well as a guide to our online mortgage application process but the details below should help you understand the process and the kind of things you need to look out for.
When you're embarking on the journey of buying your first home, there are a few key questions you should ask yourself. Thinking about the kind of area you'd like to live in and the type of property you'd like to purchase, will make it easier to make some decisions later in the process.
Get a clear picture on how much your repayments might be.
Loan to Value: If the property value is £150,000 and your deposit is £15,000 your Loan to Value would be 90% (and your mortgage will be for £135,000)
As well as the mortgage repayments, it's also important to take into account all the other costs involved when buying a home. See our guide for a breakdown of the other fees, charges and costs that are part of the mortgage process.
Get an estimate on an amount to borrow.
The Approval in Principle (AIP) process will determine whether we would be in a position to lend you the funds to purchase a property.
So you've got your Approval in Principle (AIP) and found a property you want to purchase, the next stage is to look at the mortgage products available.
The good news is, once you've obtained an Approval in Principle, you have two options for continuing with a full application:
ONLINE – If your Loan to Value (LTV) is 90% or less, you can continue online by logging into the website and selecting your application.
Please note, an online mortgage application is done on an 'execution only' basis.
BY PHONE – If you want to discuss your application or if your Loan to Value (LTV) is 95% or more, you also have the option to complete your application by calling our contact centre. Your information will be transferred to the mortgage adviser meaning you won't need to start the process again
During the full application we'll ask you to confirm further details regarding your employment and will also need to know about the property you are planning to buy.