First time buyers

What first time buyers need for a mortgage

• A deposit. 5% is possible with some lenders. 10% opens up a lot more. The bigger it is, the better the rates you'll typically be offered.
• Proof of income. Payslips and bank statements if you're employed; accounts or SA302s if you're not.
• A reasonable credit history. Not perfect. Reasonable.
• Money for the other costs. Solicitor, survey, and Stamp Duty if it applies. Easy to forget these and get caught short.

Work for yourself? Then self-employed mortgages and contractor mortgages are worth reading too, because how your income is assessed will decide your budget more than anything else here.

The first time buyer mortgage process, step by step

1. 1

   Talk to us first, before you view anything

   You'll know your actual budget instead of guessing.

2. 2

   Get a mortgage in principle

   A lender's indication of what they'd lend. Estate agents take offers more seriously with one, and it tells you your real budget before you fall for something you can't fund.

3. 3

   Find the place and offer

   Now you're offering on something you know you can fund.

4. 4

   Full application

   We handle it.

5. 5

   Valuation and underwriting

   The lender checks you and the property.

6. 6

   Offer issued

   Then it's over to the solicitors.

Mortgage terms first time buyers should know

• LTV: loan to value. How much you're borrowing against what the place is worth, as a percentage.
• Mortgage in principle: a lender's indication of what they would lend you. An indication, not a promise.
• APRC: the true annual cost including fees, useful for comparing deals fairly.
• ERC: early repayment charge. A fee if you pay off or overpay beyond the agreed limits during your deal period.
• SVR: standard variable rate. The rate you drop onto when your deal ends.