Getting a mortgage in today’s economic climate is by no means easy. But regardless of your financial situation, there are some great, practical steps you can take to ensure that you give yourself the best chance of success.
Have Excellent Credit
Before you even approach a mortgage broker, you need to be sure that your credit rating is in top shape. You can get a detailed credit score online from Experian, which should give you all the information you need to know. If your credit score isn’t great, you may want to consider waiting until it’s healthier before you apply. Things like repaying loans and bills on time will improve your rating considerably. If however, you decide that you want to go ahead with a mortgage anyway, fortunately there are a number of mortgage brokers – such as Rite Mortgages – who’ll be able to accommodate you.
Be 100% Honest In The Loan Application
Whilst applying for a loan, it’s essential that you’re completely transparent regarding your finances and credit history. Mortgage brokers will have access to all of your credit history anyway, so attempting to fudge information or deceive them about your finances will only work against, you. If you’re up front about any issues, they’ll be far more likely to trust you, regardless of how poor your credit history might be.
Give A Large Downpayment
Essentially, the more you are able to contribute to the first loan downpayment, the more attractive your application will appear to the mortgage broker. So it’s important to pay as much as you can afford at this stage, even if it means borrowing a little money from family and friends in order to ensure the success of your application.
Don’t Focus Too Much on Interest
Despite what you might think, getting a great loan isn’t all about finding the lowest possible interest rate. There are plenty of other factors that contribute to the overall cost of a mortgage – origination fees, underwriting fees, document preparation fees – so if these are through the roof, that low interest rate might mean very little in reality.
Right Approach, Right Priorities
Getting a mortgage is by no means a simple affair. With the advice given here though, you will be more than able to tackle it using the right approach and with the right priorities.