You may not know, but as a first time buyer, you have the opportunity to get a special type of mortgage. The government offers to help those in your situation get their first property easier. The first time buyer mortgages are very similar to the normal ones. The main difference is the fact that you only need to deposit 5%. And the government will lend you 20% of the deposit.
You will have a deposit of 25% deposit and can get a mortgage for the rest of the 75%. And in this article, you will find all the information you need about this type of mortgage. You can also check more first home schemes made by the government in this article. Also, you will find out the advantages and benefits that you can get if you use the services of mortgage brokers. This is a great opportunity that you do not want to miss.
If You Want to Buy Your First Property, Then You Have Some Opportunities You Should Consider
The first thing you need to know is the purpose of buying your first property. You can choose a house for living purposes, or you can get the property and use it as an investment. That means that you will become a landlord. In both cases, it is essential to visit a reliable broker and get as much help as possible.
Remember that there are thousands of mortgages on the market. But without the help of a broker, you will have a very hard time finding all of them. So, for most people, it is more than worth it to use the services of a broker for this advantage alone, not to say that there are other reasons you should consider as well.
A broker will be there for you from the beginning until the deal is made. And as a first-time buyer, this is an ideal situation that will surely help you avoid or deal with many problems that could appear on the way. So, if you want to make your journey of buying the first property as easy and fast as possible, then you need to collaborate with reliable brokers.
Should You Use the First Time Buyer Mortgages Only for Your Home?
We mentioned the two options you have. And now, you should learn some of the advantages and disadvantages of both options. The first question that most first-time buyers have is: Is it worth only using the first time buyer mortgages for your own house? Well, it depends. Every person has different circumstances they need to deal with.
But if you do not have a stable place to live, then you may want a little more stability in your life. And using this opportunity to buy yourself a house will bring enough stability. You will have one less worry in the future. And unlike a tenant, you will be able to personalize your house however you want.
The younger you are, the more you can take risks. That’s very true. But at the same time, the more stability you have, the better you can focus your time and effort on other purposes. It can be very inconvenient for a young person to live as a tenant. And you may not want those inconveniences in your life.
Pros and Cons of Using the First Time Buyer Mortgages for Investment Purposes
The second alternative you have is to make use of the first time buyer mortgages for investing purposes. Although you will lose the benefits of having your own house, you can expect the financial benefits of this option. And depending on your current situation, this may be the best option.
The best alternative to using this opportunity as an investment s to live somewhere where the rent is much lower than what you will get from your own tenants. And this will allow you to make a profit that can be used to repay the mortgage faster.
Keep in mind that the part of the deposit borrowed from the government needs to be repaid starting after five years. And as a landlord, you will have an easier time gathering the sum during this period. Although it is not mandatory to pay everything at once, doing so after the 5-year period will save you a lot of fees compared with monthly payments.
You Should Always Go to Mortgage Brokers Before You Start Looking for Loans
Now that you understand the basic two options that you have for buying a property for the first time, you need to know the advantages you can get from a broker. If you want to get the most out of your first deal, then it is essential that you understand the advantages you can expect from a collaboration with a broker.
The first thing you should realize is that the broker will do a large amount of your work. So, you will be able to save a lot of time. You will also be guided step by step during this process. So, you can have maximum efficiency. You can finish the deal in less than half the time as a first time buyer.
You will get a lot of useful advice that you can use to make your journey to get first time buyer mortgages a lot easier. And you will be able to use the information you gather in the future as well. So, if you plan to enter the real estate market as an investor, then this is an even bigger opportunity for you.
How to Find the Best Brokers in the Shortest Time Possible
Time is the most valuable resource. So, you need to be fast in all your tasks. But you should also refrain from rushing. You do not want to make mistakes. So, to find reliable brokers, the first thing you may want to do is visit our website.
We recommend that you check our reputation, the awesome reviews left by our clients, and the quality of the advice we provide to all our clients. This should provide you with all the information you need to trust that we are the most suited options for you.