Getting the right mortgage. How to finance your new home

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1 Getting the right mortgage How to finance your new home

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3 You ve set your sights on a new home Financing your new home in an affordable way is probably high on your list of things to consider. There are so many lenders and different mortgage products to choose from. The process of finding out about mortgages and applying to the right lender can be confusing. Knowing how to improve your chances of getting the right mortgage will be important to you and the tips in this guide are designed to help you to start that journey. Lenders are more likely to offer a mortgage to you if you can show that you are not a risk i.e. that you have the ability to repay your mortgage and meet each monthly payment. 2

4 Preparing to get a mortgage Some helpful tips: Ensure that all your utility bills including mobile phones are paid on time. Lenders will check your payment record and may take missed or late payments into account when assessing your application. Save a deposit. If you haven t already saved your deposit, then now is a good time to start. You should aim to save at least 5% of the purchase price of the home. The more you can save, the better your options will be. With new 95% mortgages now available, you can buy a new home with a 5% deposit. Make sure you are on the voters roll as this can help improve your score. Check your credit rating online at Make sure the information held is accurate. We recommend that you do not apply for any credit until your mortgage application has been completed and your mortgage offer has been confirmed to you in writing. Any other credit applications, for example for a new sofa or a credit card will be taken into account and may jeopardise your ability to get a mortgage or may risk a mortgage offer that you already have. We strongly recommend that you pay all your credit commitments on time. Missing payments or being late will impact on your ability to get a mortgage. 3 Having a fixed landline can still improve your score when applying for a mortgage. Always make sure you disclose your home number when applying for a mortgage.

5 Independent free financial advice Financing your new home can be exhausting contacting endless mortgage lenders, not sure where to start, answering the same questions again and again. An independent financial advisor that is a new homes mortgage specialist is ideally placed to guide you through the range of mortgages available, provide you with details of interest rates, repayment terms and find the mortgage that best suits you. New Homes Mortgage Specialists offer a range of benefits and there is no cost for their service as they are paid by lenders. Their role is to find the best mortgage offer for you that is both affordable and fits your circumstances. Their advice is professional, independent and regulated by the Financial Conduct Authority so you can rest assured that you ll be in the best hands. Whether you re a first time buyer or a seasoned buyer, a New Homes Mortgage Specialist is the easiest way to find the right mortgage for you. The Independent Financial Advisors detailed below are experts in securing mortgages for new homes and they have access to mortgage rates that other brokers may not have access to. If you d like their help, just ask. They re here to help no matter what your position. RSC NEW HOMES LIMITED 2nd Floor Landmark House Station Rd, Cheadle Hulme Cheshire SK8 7BS ANDREW MANNION CEMAP

6 Buy now with just 5% deposit * Help to Buy is a product in the Government s HomeBuy range designed to help buyers in England buy your new home in an affordable way. The Help to Buy scheme will enable an eligible buyer to purchase a brand new property, funded by an affordable mortgage and with assistance from a HomeBuy Agency. The Help to Buy scheme gives you the chance to buy a new home with the assistance of an equity loan. The value of the loan is a maximum of 20% of the full price of the property. The maximum full purchase price is set at 600,000. Under the scheme the government provides an equity loan as follows: The Government provides an equity loan of 20% You arrange a mortgage for 75% Meaning your deposit is 5% 5

7 TO BE ELIGIBLE FOR HELP TO BUY, YOU MUST: 1. Be able to show that you have sufficient fund to pay for; a deposit (which may be between 5% and 55% of the purchase price), legal fees, stamp duty and any moving costs. 2. Be purchasing a property costing 600,000 or less. 3. Have a good credit history. 4. Take out any mortgage with a qualified lender (e.g. a bank or building society). 5. Have your name(s) removed from any other property deed prior to or at the point of completion of your new property (if you are a home-owner wishing to buy a larger property). 6

8 Get in touch Find out more about all the different ways Stewart Milne Homes can help you move home. Contact us today. Stewart Milne Homes, Harrier House, 2 Lumsdale Road, Cobra Business Park, Trafford Park, Manchester M32 0UT CALL Follow us on: sales@stewartmilne.com stewartmilnehomes.com stewartmilnehomes.com *Help to Buy is only available on selected homes at selected developments in England. Eligible applicants will be offered an equity loan of up to a maximum of 20% of the full market price. The Homes & Communities Agency will hold the second charge on the property. Applicants are required to fund at least 80% of the purchase price by means of a mortgage and any deposit where required. For the first five years there is no fee charged on the equity loan component. At the start of year six a fee is collected of 1.75% of the market value of the property at the time the loan is entered into multiplied by the outstanding percentage under the equity loan, the annual fee of 1.75% will be uplifted by RPI +1% p.a. The equity loan is provided by the Homes and Communities Agency and developer as a second charge. Your home may be repossessed if you do not keep up your repayments on your mortgage