First-time mortgage seekers told three tips 'essential' to securing your own home
The number of UK first-time buyers getting on the housing ladder is on track to hit a 10-year low as higher mortgage rates have made affordability a big issue.
Alexis Conran shares essential tips for first time buyers
The number of mortgages obtained by first-time buyers is down nearly one quarter so far this year compared with 2022, according to data from trade body UK Finance.
In a bid to help increase this number, the Government is said to be considering introducing a scheme that would allow first-time buyers to get on the property ladder with just a one percent deposit.
Mr Conran explained this is very important for first time buyers as it has a list of all previous credit history ie are you one time paying bills and loans.
Credit scores are documents that show an individuals financial behaviour, which is what banks will use to judge them.
If someone had a bad credit score this will negatively impact them when asking the bank for a loan so he urged buyers to check this so they can correct any details if necessary.
Britons can go online and check their credit scores for free.
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Britons have the option to make sure their details aren't available to the public by opting out if they wish to do so, however being registered is very important when applying for a mortgage so people shouldn't miss this step.
Mr Conran warned that this has caught a lot of people out, particularly those who have a tight budget.
He continued: "Things like stamp dut, your survey, valuation of the property, your legal fees which usually come in around £2,000.
"It's worth nothing that some mortgage's charge fees like booking and arrangement fees. So all these costs can add up."
Mr Conran offered a word of advice for those looking to obtain a mortgage.
He said: "Some mortgage lenders will ask if you want to put all your extra fees into your mortgage, but don't do that because you're adding to a much longer loan. If you can pay them off up front instead of adding them to the cost of your house."
The one percent deposit scheme could be announced in the Spring Budget on March 6 to help those struggling to build up enough savings to buy a home, according to a report in the Independent.
It could see the Government offer banks financial guarantees to encourage them to hand out mortgages covering 99 percent of a home's value.