- Increase your property value, decrease your loan to value- The rate offered to you by a mortgage lender depends on risk. Are there any quick wins around the house that could increase its value? Why not have a chat with you local estate agents, Rowland Gorringe, Seaford for example to see what their property experts feel bumps up your properties value. If you’re in the mid-Sussex area give Neville & Neville a call
- Credit Score- This is huge! It’s like doing a deep dive into someone’s socials before going on a first date….. most things they don’t want you to know can be found in a matter of minutes. Do yourself a favour, if you haven’t used a “credit reference agency” before then most offer a free trial, we always suggest Experian, Equifax and Transunion in that order. These are who most lenders use to look at your history. There are plenty more available but not always terribly accurate.
- Unsecured Debt- If you have accumulated credit cards, car finance or personal loans for example it doesn’t mean you’re going to suffer a higher rate, it all depends on how those loans affect your ability to repay your mortgage. On the other hand, some lenders might not be able to lend you enough if you have overstretched yourself, as a result maybe you’re reducing the pool of available lenders. Have a quick chat with your mortgage broker before taking on any personal debt to ensure you’re not getting too close to the line.
- Income- When approaching a mortgage renewal, looking to move or buy your first property speak to a broker in good time before looking to “push the button” believe it or not lenders don’t all treat income the same way. Some will take all of commissions and bonus some will only take half, for example. Plan ahead, speak to a broker
- Don’t overpay! When buying a property we’re often ruled by our heart rather than our head. You may want the property so much rationality has gone out of the window! How much deposit you have as a percentage of the properties value will directly affect the rate on offer so by overpaying you will dilute the percentage deposit you have available.
