What are the first steps you take to getting a mortgage?

Question

it sounds stupid i know! but me and my partner are looking to get a mortgage, we are first time buyers obviously first time buyers, and we haven't got the first clue on how to go about it, do we look for houses then make an appointment to see a mortgage advisor or bank???

thans in advance

Answer 1

Go to a few banks, starting with your own, take a few months' pay slips with you and see what they will offer. It's no use looking for a house until you know how much you are likely to be able to afford. You also need to take into consideration any legal fees, removal costs, decorating costs, etc. Only go to reputable loan companies (banks/ building societies) or you may pay too much interest. Don't let the estate agent badger you into using a financial advisor they recommend (they get commission and it's not always independent advice), but ask your friends with mortgages who they would recommend locally.

Answer 2

Keep looking for houses you like but make an appointment to see a mortgage advisor , you can see one at your bank. Also  if you go into Barclays they have booklets about morgages read up on them they give alot of info Good luck

Answer 3

You should talk to a broker who provides free advice. That way, even if you do not use them, it does not cost you anything and you get professional advice.

Answer 4

First decide what area you wish to live then figure out your bills and income and decide how much you can spend on housing, taxes, etc.

Talk about the type and size house you wish to purchase; then drive around and check out the areas. Pick up some house for sale ad books and look at them to get price idea. Then go talk to your bank and ask them to pre-qual you for mortgage, them hit the streets

Answer 5

Go see a loan officer, preferably more than one.

You need your tax return, sometimes also your W-2s, your income, your debts and assets

You can get prequalified, find out what price home you can afford

DON'T overextend yourselves--most common mistake of first time buyers

Homes are expensive, they require upkeep, maintenance, repairs, new roof, new appliances, paint and then there are taxes and insurance in addition to your mortgage payments

BUY less house than you can afford, not More house than you can afford

Once you're prequalified, start looking. . . .it's a good time to buy as the housing market is depressed and prices have declined. . .however they may continue declining another year or so and your house could end up being worth less than you paid for it--problem of many recent purchasers (last 5 years)  

Answer 6

When the market was hot a few years ago, you would need to have a pre-qualification letter from a bank that said "Yes, you probably would qualify for a loan for X amount."  That way, sellers would know that you would have the ability to buy this house.  Of course, it turns out a lot of those letters didn't mean a whole lot, but that's a different story.

Now, since the market has slowed down and has become much more buyer friendly, you don't need that letter anymore.

So, feel free to look at houses first and get a sense of how much you can afford.  Your realtor can probably recommend a mortgage broker that can talk you through how much you can qualify for.

Answer 7

First of al I went to Halifax, just to get an idea (quote only) to see how much I can get, so I can get an idea on what price range I can get.

Answer 8

I work for a mortgage broker,

my advice is to look in your yellow pages or ask family / friends for recommendations and make an appointment to see a broker who will be able to help you with everything from making an offer to finding a good solicitor

jade

Answer 9

When my hubby and I first got a mortgage we went to see a mortgage advisor first to find out what price range we could afford, he also managed to secure us a mortgage once we had put in an offer on a house, hope that helps and good luck

Answer 10

Go and see your bank / mortgage adviser first, take a long a few wage slips with you as well so they can see how much you earn, they will then be able to tell you how much you can borrow.

Start saving as well, not only will you need 5% deposit to put down but you will also need monet to pay for legal fees & stuff.

Answer 11

Both of you must be working and have incomes Go to a bank to get informations on a mortgage to buy a house. After you get all the facts and particulars especially on the amount of monthly repayments you need to pay on the mortgage you require. Do some calculation on your affordability and your personal up keeps on your life styles. If they are positive start looking for a house to buy for your home.

Answer 12

go to the bank first to see if you can get a mortgage then look for a house

Answer 13

If you go to www.hud.gov, you can search for a HUD-approved housing counseling agency in your area.  They will give you a free counseling session on all of the aspects of buying and owning a home.  They will also be able to tell you of any local programs that are made for first time buyers.  For instance, in Maryland, I can do a special loan for a first time buyer that is 100% financing and has a lower rate than a standard loan.  The housing counseling agency may provide you with a list of lenders, but don't feel like you are limited to that list.  If you do shop around, remember that rates change every day, so if you are comparing rates you should compare them at the same time on the same day.  Rates are pretty good right now, and housing prices are low, but all indicators point to higher rates later on this year or early next year.  Also, recent data seems to indicate the supply of houses is going down, which will cause prices to go up.  This fall is probably going to be the best time to buy since 1999.  

Josh Parker