First Time Buyer
Your Guide to Getting on the Property Ladder
Buying your first home is an exciting milestone, but it can also feel overwhelming. At Hoskin Financial Planning, we’re here to make the process as smooth as possible, guiding you every step of the way.
1. Understanding Mortgages
A mortgage is a loan used to purchase a property. Most lenders require a deposit (usually at least 5% of the property price), and the remaining cost is covered by the mortgage. You’ll then make monthly repayments, which include interest, over an agreed period.
2. How Much Can You Borrow?
Lenders assess affordability based on your income, expenses, and credit history. Typically, you can borrow around 4-4.5 times your annual income, though this varies between lenders.
3. Types of Mortgages for First-Time Buyers
Fixed-Rate Mortgage: Your interest rate stays the same for a set period, providing stability.
Tracker Mortgage: Interest rates follow the Bank of England’s base rate, meaning payments can go up or down.
Help to Buy Mortgage: Government schemes can help reduce the deposit needed.
4. First-Time Buyer Schemes
Lifetime ISA (LISA): Save up to £4,000 a year, and the government adds a 25% bonus.
Shared Ownership: Buy a portion of the property and pay rent on the rest.
First Homes Scheme: Offers discounts for first-time buyers purchasing newly built homes.
5. Costs to Consider
Beyond your deposit, budget for:
Stamp Duty: First-time buyers pay no stamp duty on homes up to £425,000. (changing to £300,000 from 1st April 2025)
Solicitor Fees: Legal costs for handling contracts and property checks.
Surveys & Valuations: Ensure the property is in good condition.
6. Steps to Buying Your First Home
Check Your Credit Score – A good score improves mortgage approval chances.
Save for a Deposit – The more you save, the better the mortgage deals available.
Get a Mortgage in Principle – Shows how much you can borrow before house hunting.
Find a Property – Search for homes within your budget and arrange viewings.
Make an Offer – Once accepted, your solicitor will handle the paperwork.
Apply for a Mortgage – Submit documents to your lender for final approval.
Exchange Contracts & Complete – Once contracts are signed, the property is officially yours!
7. Why Choose Us?
At Hoskin Financial Planning, we specialise in helping first-time buyers navigate the mortgage process with expert advice and access to exclusive deals. Our friendly advisors will:
Assess your affordability.
Explain the best mortgage options.
Guide you through the application process.
Get in Touch Today! Start your journey towards homeownership with confidence. Contact us today for a free consultation and expert mortgage advice tailored to you.
