Frequently Asked Questions.

You need to start by knowing you can afford to borrow. Contact a reputable mortgage advisor who can search the whole market to find you the best deal (it’s how the majority of mortgages in the UK are arranged) and ensure that you have all the necessary documents to hand.

For a handy video that will help you get your head around the mortgage process, click here.

Mortgage affordability is the term used by lenders to assess a person’s financial position in order to ascertain how much they can reasonably afford to spend on a mortgage each month. Every lender will have their own criteria for this calculation and will stress test the results at varying levels.

Find out more about mortgage affordability.

Loan to Value (LTV) is the amount you are borrowing expressed as a & against the overall value of the property. For example, if you are buying a property for £100,000 and you are borrowing £90,000. The loan to value will be 90% meaning you require a deposit of £10,000.

Find out more about ‘loan to value’ and mortgages

Also known as an ‘agreement in principle (AIP) ’ or a ‘decision in principle (DIP)’,  these are non-binding certificates issued by a lender  following a credit check. They confirm that ‘in principle’ a mortgage may be offered. This agreement is not final and does not relate to a specific property. It is based on a surface-level assessment of a candidate’s affordability and credit history at the time it is run. A full application would still need to be made in order to achieve a formal mortgage offer.

Rather than pay off your mortgage as you go along, with an Interest Only mortgage you will only be paying the interest. This can work out to be a cheaper monthly payment but means that at the end of the term you will not own the property and will therefore need to pay off the mortgage with a lump sum or switch to a repayment mortgage.

Get advice on interest only mortgages.

Most banks and building societies offer residential mortgages. Application requirements and interest rates will vary. You can either research the various mortgage products yourself or find an experienced mortgage advisor to do it for you.

Get more information about residential mortgages

A buy-to-let mortgage is required for a property that you do not intend to live in but instead will rent out in order to make a profit.

Find out more about buy-to-let mortgages

How much you can borrow will depend on your income, whether you have any financial dependents, your monthly financial commitments, your age and the property you are looking to buy. There may also be additional considerations depending on which lender you are borrowing from.

Find out more about getting a mortgage.

Depending on your circumstances, you will need a minimum of 5% of the value of the property.

Watch this video about deposits for buying a home

Of course! It is possible to get a mortgage if you are self-employed. Most lenders will need to see proof of 2-3 years of income. However there are lenders who can work with just 1 year of earnings.

Get more tips on self-employed mortgages.

Yep! The longer you have been self-employed the easier it will be to prove your income. Ideally you will need to show 2-3 years of accounts or tax year overviews but if you have less, there are still lenders who will be willing to lend to you. Just give us a call.

Find out more about getting a mortgage if you haven’t been self-employed for long.

No lender is ‘better’ than the others. The key is in finding the right lender for you individual circumstances.

Let us help to find the best lender for you.

Usually 6–8 weeks but it can be longer or shorter depending on how quickly you are able to submit all the relevant documentation and on the current service levels for your chosen lender. A good adviser will take into account your aspirations and lender timescales when making a recommendation.

Watch this video to learn more about which documents you need to get a mortgage

It depends on how you make a living. For employed applicants it will be payslips. For the self employed, lenders will generally want the Tax Calculation (SA302) and corresponding Tax Year Overviews. If you are a Ltd Company Director then the latest 2 to 3 years full company accounts will be required.

Stamp Duty – or Stamp Duty Land Tax to give it its full name – is a tax charged on the transferal of property within the UK.

Find out more about Stamp Duty by downloading our free guide for first time buyers.

This depends on your circumstances, however HMRC have a handy little calculator you can use here

Find out more about stamp duty.

Many people now use the help of family to enable them to buy a home. There are a range of possibilities from simply gifting a deposit to jointly going on a mortgage to help boost the overall income.

Find out more about how your family can help you to buy a home.

When you reach the end of your current mortgage term, your existing lender will offer you a new product to stay with them. If you choose to stay with your lender but switch to the new product, this is known as a Product Transfer.

An offset mortgage allows you to connect your mortgage with your savings. Rather than have all your money earning interest on a mortgage, you keep some in a separate special Offset Savings Account and your lender does not charge you interest on this amount. In some cases, this can lead to lower monthly mortgage payments and potentially enable you to pay off your mortgage sooner.

Find out more about offset mortgages

Buying a property with an annexe can cause some complications in the mortgage application process. The lender will want to consider the size of the annexe in relation to the main residence and also, what the annexe is likely to be used for. It’s well worth seeking expert advice if you need a mortgage on a property that has an annexe. An experienced mortgage advisor will know which lenders are likely to look favourably on your situation.

Find out more about mortgages for properties that have an annexe

There are many factors that can slow down a mortgage application. Firstly, there may be documents pending that the mortgage lender needs from the applicant before they can proceed with the case. There can also be long lead times if a particular lender is experiencing a high number of mortgage applications at the time.

Find out more about how long it takes to get a mortgage offer

It should usually be free to have an initial consultation with most mortgage advisors. Some will submit a full application for no fee. However, some mortgage advisors will charge a few in order to progress the mortgage application through to completion.

Find out more about how much it costs to get mortgage advice