First Time Buyer Mortgages
If you're looking to buy a home, you'll probably need to apply for a mortgage. It's a loan which is secured against the value of the property.
The mortgage will either be:
- a repayment loan, where you pay back a proportion of the loan plus interest each month; or
- an interest-only loan, where you pay the interest on the loan each month but not the loan.
In the current mortgage market you'll need a deposit of at least 5% of a property's value to get a mortgage.
Getting help to buy your first home
You could use the Help to Buy scheme if you have at least 5% deposit. Help to Buy is a government scheme for those who have a small deposit, when buying a home.
Types of Mortgage
Fixed rate mortgages
Monthly payments are fixed for a set period of time.
Variable rate mortgages (tracker)
Payments are variable, this means they could go up and down depending on the movement of the Bank of England's Base Rate.
Capped rate mortgages
Interest payments may vary depending on an interest rate set by the lender but they can't go above a certain amount.
This is where your savings are placed in an offset savings account, the amount in your savings account can help reduce the interest you pay on your mortgage debt.
Affordable home ownership schemes
You may be able to get financial help through a government home ownership scheme if you live in England and can't afford to buy a home.
The 3 types of home ownership schemes currently available are:
- Help to Buy: equity loans
- Help to Buy ISA
- Shared ownership
Expert Mortgage Advice
Regardless of whether you're a first time buyer, home mover, or looking to remortgage to another lender to take advantage of a better mortgage deal, the mortgage market can be a confusing place. There are numerous mortgage deals on the market, which we can explain the pros and cons to you.
The advantage of using an experienced broker is that we can personally handle your mortgage application from beginning to end.
Are you looking to purchase a property, remortgage or buy-to-let? or simply want some expert mortgage advice? Then Michael James at Trafalgar Mortgages can help. Trafalgar Mortgages based in Plymouth offer mortgage, remortgage and protection advice. We offer discount rates to the armed forces.
Your home may be repossessed if you do not keep up repayments on your mortgage.
For details of our fees for mortgage business please see our page Our Fees
Please contact us for advice in choosing the best mortgage for your needs.