First Time Buyer Mortgages

If you’re planning to buy your first home, our expert mortgage advisers will provide all the first time mortgage advice you need and support you through the process. From your first questions, to the moment you finally have the keys in your hands, we’ll help to keep things as smooth and simple as possible.

Talk to one of our friendly mortgage brokers today to find the right first time mortgage deal to suit your specific financial needs.  We’ll search 100's of first time mortgage deals to find the perfect mortgage product for you.

Call us today on: 0345 066 6555 or drop in to see us in Birmingham at Coleshill Road.

You are classed as a first time buyer if you have never owned a property before and are buying the property on your own or with someone else who has never owned a property.

Mortgages for first time buyers

There are many different mortgages available to suit first time buyers, with plenty of attractive deals as well as support for those with smaller deposits.

Types of first time buyer mortgages

Most contemporary first time buyers need help from a family member or government scheme to afford the deposit for a new home so typical first time mortgages include:

• Joint mortgage: with financial help from a family member it can be much easier to find a good mortgage deal. A joint mortgage will mean that you are buying a home with a partner, family member or friend who will own a percentage of the property.
• Shared ownership mortgage: many keyworkers and first time buyers who earn less than £60,000 have access to government-sponsored shared ownership mortgages. With a shared ownership mortgage, the government will contribute to some of the cost of your new home meaning they’ll own a proportion of the property.
• Joint borrower sole proprietor mortgage: some first time buyers ask a family member, usually a parent, to act as a guarantor so they can secure a better mortgage deal. In the event that you are unable to afford your mortgage repayments, your guarantor will need to pay.

To calculate the cost of a first time buyer mortgage, you’ll need to know how much deposit you can pay.

Deposit and LTR (Loan to value ratio)

Most lenders want you to have a deposit of around 15% of the value of the property but for first time buyers it is possible to find 5% deposit mortgage deals. Lenders will ideally want to lend about 4.5 times the value of your annual income.

The higher your deposit, the lower your loan to value ratio (LTR) which means smaller monthly repayments. For most lenders the maximum LTR is about 85% although you can find 90% LTR deals for first time buyers.

With a 15% deposit on a property worth £200,000, your LTR would be 85% and your mortgage would be for £170,000.

Talk to our highly experienced first time buyer mortgage advisers in Birmingham today for all the advice and support you need to find the best first mortgage for your financial circumstances. Call us today on: 0345 066 6555.

Fixed rates and variable rates

Fixed rate mortgages have a set amount to pay each month whilst variable rate mortgages have lower payment rates however the amount you pay can be increased at the lender’s discretion.

The terms of your mortgage stipulate how long it will take you to pay for your home. Mortgage terms typically span 25 years however some owners opt for 35 or even 40 year mortgage terms.

Help to buy for new builds

Government Help to Buy Equity Loan schemes make it possible to buy a new build with as little as a 5% deposit. The government contribute a percentage of the deposit, usually around 20% and act as a trusted guarantor.

Talk to our experienced first time buyer mortgage advisers for all the support and advice you need to buy your first home. Call : 0345 066 6555 or drop in to see us in Birmingham at Coleshill Road.

Your home may be repossessed if you do not keep up repayments on your mortgage.