We specialise in giving an expert advice to our First time buyers and we can cater wide range of mortgage products and exclusive deals available in the market. We tailor our advice to suit your needs and objectives and source the products that is right for you.
Someone who has never owned a home or main residence in the United Kingdom or overseas is considered a first-time buyer. To be qualified for any kind of first-time buyer mortgage, both applicants must be first-time purchasers. If you have an income and available deposit you can apply for the mortgage.
A minimum 10% down payment is typically required when applying for a mortgage as a first-time buyer against the value of your home. On the other hand, lenders frequently provide exclusive first-time buyer mortgage offers that need just a 5% down payment. This indicates a 90–95% loan to value (LTV) for you.
First-time buyer mortgages come in a variety of forms, with options for interest-only, capital repayment, fixed or variable rates. Additionally, you must choose how long you want the fixed or variable rate to be in effect. Typically, this can range from two to ten years.
You will progressively pay off the mortgage over its length, which can range from five to forty years.
Options on buying your dream home
If buying a property is not affordable as a first time buyer, there are options available for example, Joint borrower sole proprietor where the first time buyer own the property but their parents, friends or family can help them boost the affordability by using their income. As an alternative, you might want to consider a guarantor mortgage, which offers an extra revenue stream to satisfy eligibility and affordability requirements. Usually, a parent or other family member fills this duty.
Additionally, the government offers programmes to entice first-time homebuyers to climb the property ladder such as shared ownership where you buy a share in the property and pay rent on the share that you do not own.
After a while on the property ladder, some clients would like to upsize or downsize the property and you would like to get the best deal in the market cause we can source comprehensive mortgage products and some exclusive products available to brokers only. This is where we can help you.
Even if you've applied for a mortgage before and gone through the process with your first home, moving can be an exciting but stressful time.
The brokers at NM Financial will advise you if a new lender can provide you with a better deal, so you are not required to stick with your current lender.
Regarding your mortgage, you have a few choices as a home mover. Either find a new lender or transfer your mortgage to your new residence.
Looking at all new home mover mortgage deals available means you will most likely have access to better terms, and our specialist mortgage brokers at NM Financial can search the 'Whole of Market' for your new mortgage and ensure that you get the best possible rate. You should be aware that your present mortgage may have exit and early repayment penalties. Our knowledgeable mortgage broker, though, can offer you advice on that.
Waiting until the end of your fixed rate mortgage term to switch to your lender's standard variable rate (SVR) could be advantageous if you want to avoid paying early repayment penalties. When considering a move, keep in mind that most fixed terms are between two and five years.
Tenants who meet specific requirements have the legal right to buy the property they currently occupy through the Right to Buy (RTB) Scheme on a discounted price. It covers homes owned by councils, new towns, non-charitable housing associations, or other public sector organisations.
The person named on the offer letter from the council has to be on the mortgage application. You can use the discount as a deposit if it suits your needs.
Changing your mortgage product without having to move is known as remortgaging. Remortgaging can be done for a variety of reasons, depending on your unique situation, but most people think about it as a way to raise money, save money, or get a better mortgage that better fits their needs. Your monthly payments may be reduced if you switch to a mortgage with a lower interest rate. The knowledgeable broker at NM Financial can walk you through the advantages of getting a new mortgage deal to either save money, raise capital to buy another property or other reasons like home improvements etc, depending on your needs.
The operation of a remortgage is identical to that of a standard mortgage. After conducting a market search, NM Financial will recommend the product that best meets your needs. To make sure you're getting what you need, we will shop around for the best offer from your current lender and compare it with alternatives available throughout the market.
Mortgage offers are valid for six months, you should start shopping early to get the best possible rate and still have time to make changes if needed. This will give you at least six months before your current mortgage product expires. Six months can see significant differences in interest rates, so it's best to give yourself as much time as you can.
We are whole of market broker and we aim to find the best possible solution for your needs from high street lenders, building societies and some exclusive lenders available to brokers only, so we source depending on your needs.
A buy-to-let mortgage is a type of mortgage loan specifically designed for individuals who want to purchase residential property with the intention of renting it out to tenants. It's a financial product tailored for real estate investors or landlords rather than owner-occupiers. Here are some key points to understand about buy-to-let mortgages:
1. Investment Property: Buy-to-let mortgages are used for properties that will be used as an investment, not as the borrower's primary residence.
2. Higher Interest Rates: Buy-to-let mortgages often have slightly higher interest rates and fees compared to standard residential mortgages. This is because they are considered riskier by lenders due to the potential challenges associated with rental income and property management.
3. Rental Income: Lenders typically consider the potential rental income of the property when assessing eligibility for a buy-to-let mortgage. They may require the rental income to cover a certain percentage of the mortgage payments.
4. Deposit: A larger deposit is usually required for a buy-to-let mortgage compared to a standard residential mortgage. This deposit can range from 15% to 25% or more of the property's value.
5. Affordability: While personal income is a factor, lenders primarily focus on the property's potential rental income and its ability to cover the mortgage payments.
6. Property Type: We can help you with standard lets, HMO’s, student lets, holiday lets.
What is a HMO
A house that has three or more tenants who are not from a single household and who share amenities like kitchens, toilet, bathrooms, is known as a house in multiple occupation (HMO). House shares are another term for HMOs. Recent revisions to HMO regulations stipulate that individual bedrooms must now be a minimum size of 6.51 square metres for one adult and 10.22 square metres for two adults in order to be compliant.
Buy-to-let mortgages are widely used by real estate investors looking to generate rental income and build wealth through property ownership. It's crucial to carefully consider the costs, potential rental income, and associated risks before pursuing this type of mortgage, as it is a significant financial commitment and involves property management responsibilities.
We at NM Financial can help you source from whole of market some exclusive deals that may only be available to the broker.
To "bridge" the gap between buying a new property and selling an existing one, a bridging loan is taken out.
The majority of loans have a brief duration, are backed by the current property, and are paid back as soon as it is sold.
"Bridges" might make it easier for you to buy a new property, but you should be aware that they can be costly and that you will have to pay back two loans at once if the sale of your current property doesn't go through.
Second charge mortgage can be secured against buy-to-let or residential property. These are given by specialised lenders and are typically secured by short-term loans with a second call option granted to the lender in the event of a borrower default.
Even though second charges are typically more costly than "firsts," they may still be the best choice for those looking to raise money if their primary lender is unwilling to extend credit or if there would be high early redemption fees.
Think carefully before securing debts against your home. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. The guidance and/or advice contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK.