Here at Birminghammoneyman, we believe that there are many positives to using the services of a Mortgage Broker in Birmingham, instead of going direct. That is just our opinion though, of course, we would say that!
There are loads of positives going elsewhere, so it is worth exploring your mortgage options. Thankfully for us, most people will opt to speak with a Mortgage Broker in Birmingham. In this article, we will look at the pros and cons of both routes.
The first benefit of going to a Mortgage Broker in Birmingham is that whilst most high street banks can be approached directly, not all mortgage lenders can be.
This means that to get the best deal across all lenders on our panel, you will benefit from speaking with a Mortgage Broker in Birmingham, though a mortgage lender may still have some deals you cannot get going to a mortgage broker.
An experienced Mortgage Broker in Birmingham will typically require a fee, whereas this may not be the case when going direct. That said, we can help to recommend other services that you may need for much cheaper than they might be with a lender.
In previous arguments some would say that “the bank manager knows my finances inside out,” but this was no longer the case once credit scoring was introduced.
If you know what you are doing and what you are looking for, going direct can be a quick and straightforward process. On the other hand, if you do not know what you are doing, you could harm your chances of ever obtaining a mortgage, as you will not match all lender’s criteria.
A trusted Mortgage Broker in Birmingham will be able to go over the different lenders’ mortgage criteria and will be able to match you up with the most suitable mortgage deal. We always aim to get this recommendation right first time.
Back in the day, mortgage advisors from high street banks would approve you for a mortgage, regardless of circumstances. You would not benefit from correct Mortgage Advice in Birmingham or any consumer protection.
In 2014, the government banned this type of practice. Now, only experienced Mortgage Advisors in Birmingham could go about providing expert Mortgage Advice in Birmingham to customers and making recommendations for products.
The only downside is speaking with specific individuals at a bank, which means you could be waiting months, just to speak with someone.
Because of this, the usage of a Mortgage Broker in Birmingham became more popular. As a company ourselves, we offer various time slots seven days a week, allowing you to pick a time that is convenient to you, and not months in advance!
Quite often, if you book your free initial mortgage appointment early, you may be able to speak with one of our Mortgage Advisors in Birmingham on the same day.
Nowadays, the most difficult part of the mortgage process is matching up against the right mortgage lenders’ criteria. It is also essential to remember that deals with the lowest rates often have higher arrangement fees.
You may have come across a really good deal, only to find that you need to pass affordability checks and be eligible for that deal in the first place. With the help of a Mortgage Broker in Birmingham, we will be able to find the most suitable deals that are suitable for you.
Thanks in part to the regulations that followed after the credit crunch back in 2008, mortgage applications perhaps are not as straightforward as they used to be.
This is not necessarily a terrible thing, however, as it makes lenders have less of a chance of anyone falling into arrears, which both customers and mortgage lenders do not want to occur.
There are still a lot of situations that could cause some issues for applicants, some of which a Mortgage Broker in Birmingham may be able to help with.
As an expert Mortgage Broker in Birmingham, we have seen mortgage lenders demonstrating their competitive prowess, trying to offer better interest rates than their fellow mortgage lenders.
Because of the changes to regulations, the other difference between these lenders is their mortgage lending criteria and whether the customer can match up with them.
Examples of how these can differ, is that some mortgage lenders may have more products for self employed applicants than others, whereas others may not but will be more lenient to something like bad credit mortgages.
Our trusted mortgage advisors in Birmingham will always keep you in the loop, with availability from early until late, every day of the week, responding as soon as they can.
With our services as a Mortgage Broker in Birmingham, is that nowadays people are so busy. It is often easier to use a professional service, to take the stress off your shoulders.
This is especially beneficial for professional applicants who are dealing with customers of their own, not having the time to run through their process themselves.
From your first initial touch we will discuss your case, and will use our knowledge to help. We like to go above and beyond with customers that need our help.
During your process, one of our Mortgage Advisors in Birmingham will be able to discuss the maxium amount you can borrow and supply you with an agreement in principle, which can help when making an offer on a property. As well as recommend additional services like solicitors and property surveys.
We can also reccomend any potential insurance options with you, helping prepare you and your family for the future, in the event of anything unfortunate that affects your financial state.
If you would like to go direct, that that’s fine, but wether a customer is a First Time Buyer in Birmingham, Self Employed in Birmingham, or looking to Remortgage in Birmingham, they prefer to enlist the services of an expert Mortgage Broker in Birmingham.
Book your free mortgage appointment today with our Mortgage Broker in Birmingham and our Mortgage Advisors in Birmingham will see how we can help you along your mortgage journey.
A credit score is a three-digit number that use to help decide whether you get accepted for a mortgage.
Utilising the information displayed, lenders will look at your credit report, application form as well as any other information they hold on you (if you are an existing customer). With this data, the lender can calculate your credit score representing your credit history mathematically.
By calculating this, the lender can see what kind of borrower you are and how likely it is to manage your repayments. Your score is not a specific number. Different lenders will look at other factors in potential customers, therefore, it might be best that you approach another lender as you may not be ideal for one lender.
Typically, the higher your score, the better your chance of being accepted for your circumstance ‘best’ deal.
It can be common for customers to get in contact with our team asking if they Can Get a Mortgage With a CCJ, after being declined for having a ‘low’ credit score. Sorting out these types of cases is something we deal with daily as a Mortgage Broker in Birmingham. We also encounter many applicants who are the subject of a county court judgment (also known as a CCJ).
If you fail to repay a loan/borrowed money, you will likely get a CCJ. Having a CCJ can leave a severe mark on your credit for 6+ years. It would be wise to pay off your debt before applying for credit. The CCJ will show up on your file, making the lender ask questions. Even the little things can sometimes cause damage, such as:
The above are only several examples that could have a negative impact; there might be other reasons you could have bad credit. Whatever situation it is, our team is here to help you improve your score to increase your chance of your mortgage application passing the Lenders criteria!
There are numerous ways to improve your score to try and get you up into that next bracket, and the good news is it may still be possible to secure a mortgage in some cases!
It can be a time-consuming task to try, however, this handy guide may help you go up another bracket. An important point you need to know is that each lender has its lending criteria, so your score may impact what deals you can access. Even if you have an excellent score, it doesn’t always that you will match every lender’s criteria. Sometimes, it’s down to your circumstances and up to your lender’s criteria.
When you go directly to a lender and their in-house mortgage advisor puts you through for a deal, they will perform a soft or hard credit search on you. This search will be shown on your credit file. In the case where your application is declined, the credit search performed could harm your credit score.
Carrying out numerous searches may lower your chances of getting accepted for a mortgage in the future. Having a responsive Mortgage Broker in Birmingham will be helpful. We always aim to get it right the first time by looking at your credit score and only approach lenders that hold criteria we know you will pass.
One thing that can sometimes backfire on you is applying for credit, especially if you don’t have a reason for doing so. Paying back the credit that you’ve borrowed may look good on your application. On the other hand, your credit score could end up in trouble if you fail to meet the credit payment deadline.
Amid your mortgage application, we strongly recommend that you hold off applying for credit. You might be able to get away with it, however, lenders may believe that you are struggling for money in other scenarios. Lenders could be under the impression that you are putting it towards your deposit or using it to aid your mortgage payments.
One beneficial and easy way to improve your credit score is to make sure you are registered on the voter’s/electoral roll. By being registered on the roll, you are proving who you are. It’s simple, you just go to the government’s electoral roll: and it’s easy to register from there.
When registering on the voter’s/electoral roll, you must provide accurate information. You need to make sure everything is filled out correctly and you will need to use your current living address, not your previous address.
Our team recommends that you make sure that all of your accounts and details are linked with your current address during the mortgage application process. If you are a First Time Buyer in Birmingham, this won’t impact you as much because this is your application.
On the other hand, if you Moving Home in Birmingham from rented accommodation and you still have your parent’s address linked with any of your accounts, your Lender will identify this straight away. Because of this, you need to change your addresses and make sure they’re up-to-date before applying. Your credit score could be affected if you are linked to the wrong address.
In the circumstance where you decide to approach a broker, our expert Mortgage Advisor in Birmingham will support you with this. Your dedicated advisor will check that everything is updated with you to make sure that you are in the best position for being accepted for a mortgage.
Running too close to your maximum limit on your card(s) each month will massively affect your credit score. Lenders like to see that you can pay off your credit card balance each month as it shows that you can manage your finances.
If you are exceeding credit card limits and constantly dipping into your overdraft, the lender will see you as an applicant who isn’t taking their finances seriously.
In the circumstance where you are still financially linked to an ex-partner or family member, you might be unaware of your credit score being potentially harmed. You won’t be able to remove your links if the account is still active and live. Make a request with the credit reference agencies to clear your connection.
In some cases, the lender may be lenient, however, this depends on the lender and how strict their lending criteria are. If there are some personal reasons involved, your lender may be considerate and factor them into your application. As mentioned, it all depends on the lender.
As a Specialist Mortgage Broker in Birmingham, we will always be open and honest with you as well as factor in every bit of detail. Regardless of whether you have a score on the lower end of the spectrum or not, our knowledgeable team of Mortgage Advisors in Birmingham will work hard in finding you a deal that will be suitable for you. With access to a large panel of lenders, some of who offer specialist mortgage products, we will work hard in finding you the one that will achieve your mortgage goals.
A default is a notice that you will receive if you are in breach of a credit agreement.
When taking out credit, you will have to confirm that you will be able to pay the funds back. If you cannot do this, you are breaching the agreement between yourself and the creditor. The default will appear on your credit file; once it does, your overall credit rating and score will be severely impacted.
When issued a default, you will get the opportunity to “satisfy” the default, or in other words, pay it off. A satisfied default will still have a negative effect on your credit rating.
During your mortgage application, one of the main things that your lender/mortgage broker in Birmingham will look at is your credit history. You should know that the better your credit history, the easier it should be to obtain a mortgage.
A mortgage is a huge financial commitment that can last over 25 years. Your credit history will show that you have received default and have breached a credit agreement; they will even be able to see why you have received a default.
It’s all about risk. Lenders need to know that you are a reliable applicant before lending to you. This is why they will also consider how long ago the default was issued. If the default has recently been issued, your chances of getting a mortgage are very low. Lenders will be more likely to accept your application if your default was issued a long time ago. On the other hand, this is not guaranteed, it depends on your circumstances and the mortgage lender.
A default in your name immediately impacts the lenders you can and cannot access. You will have to limit yourself to specialist lenders and those accepting applicants with bad credit in Birmingham.
As a Specialist Mortgage Broker in Birmingham, we have a large panel of specialist lenders, each with their own unique mortgage deals. Some of these products may be able to help you get a mortgage with a default.
Generally, these products come with high rates of interest early on. When it comes to the time, there are many reasons to consider a remortgage, you may be able to find a new product with a competitive rate of interest. Your default may be cleared from your file by this point too.
Remember that lenders can see the reason why you have been issued with a default. This could make a difference in your ability to get accepted for a mortgage.
Some lenders may be more lenient with you if you have received a default due to missing a mobile phone payment over a mortgage payment. The more serious the default, the less likely a lender is going to accept you.
Usually, most lenders treat defaults equally. At the end of the day, you have received a default for failing to meet a credit agreement. Most lenders will not want to take the risk in case this happens with your mortgage payments.
If you have not satisfied your default, your mortgage options in Birmingham may be even more limited. You may need to opt for a bad credit mortgage in Birmingham. Contact us for First Time Buyer Mortgage Advice in Birmingham in this case, we can also look into helping applicants who are Self Employed in Birmingham too.
Lenders mainly focus on the date that the default was issued over whether or not it has been satisfied. You may have more chance of being accepted if your default was years ago rather than if you received it last week. If you do satisfy your default, your lender will be able to see “satisfied” next to it on your credit file.
Typically, a default will remain on your credit file for 6 years. Even if you have satisfied this default, it will still remain on your file.
This does not mean that you will be unable to get a mortgage during this period. There are sometimes alternate mortgage options available through specialist lenders. At the end of the day, you have a default on your file, you may have to be patient.
There is no exact length of time, you will just have to find the right lender. We can try and help with this. As a Mortgage Broker in Birmingham, we have many different specialist lenders on panel that we can access for you.
As time passes, if you do not manage to get a mortgage with a default in your name, you can spend time rebuilding your credit score. This will show lenders that you are improving how you manage your finances and it could allow you to access better rates.
Upon receiving a default, your credit score will massively dip. It may stay like this for a long time too. This is why we suggest trying methods to Improve Your Credit Score in Birmingham within the 6 years of the default being associated with your name. A good way to start is to satisfy it straight away.
You may need to wait for the 6 years to pass until you see a difference. If this is the case, you should make sure that you are registered for the electoral roll and that your addresses are the same across your credit and store accounts.
You could even take out the lowest limit credit card available to you at your bank, and only use it for essentials such as shopping and paying it back in full each month. It may take some time, but you should see your credit score improve.
If you have a default in your name and want to see whether you are able to get a mortgage, feel free to get in touch with our team or alternatively, book a free mortgage appointment online to speak with one of our Specialist Mortgage Advisors in Birmingham today. We are available 7 days a week, so choose a date and time that suits you and your personal situation.
If you are a First Time Buyer in Birmingham whos looking to begin a chapter in your life in a new property? You may be looking at Moving Home in Birmingham. In this article, we have collated the top ten factors to consider where you should live next.
Firstly, you need to think about what you are looking for when finding the perfect place to live. You may be into the hustle and bustle of the city and may work in the city centre of Birmingham. On the other hand, you may be looking for a more rural landscape that is peaceful. Either way, there are both positives and negatives to each lifestyle.
Transport links usually are a massive factor when people are looking for a location to move to. With this in mind, it can be helpful to link at the transport links available whether it’s train, bus or even motorway links.
For those looking to start a family or are looking to further down the line, finding a property that is located in a catchment area of a secondary school or a range of schools can be an important point in the decision process. If you are looking at living within an area of a reputable school, there are local authority websites available that can give you insight into how certain schools perform e.g Ofstead reports.
You may want to live in an area where a lot of the facilities you need are a short walk or drive away from your home. The important factor is whether the facilities available are essential to you which can help you when comparing different areas. These desired facilities could include a local park for your children or a gym that is located close to home or on your route from work. You may even like a bank close to you to make financial management easy and convenient.
Being close to your family and friends could be the factor that determines whether a location is perfect for you. Especially if you want to be close to them to help them out or you may need to some help. You may need support with things like childcare which may include them coming around regularly.
What you consider value for money may differ from another person. The main deciding factor you may have could be a property that you get the most out of your money meaning somewhere a little cheaper and better value for money. In some cases, you may need to compromise on some other factors if you are looking for somewhere that is better value for money.
The community in an area could be a factor that determines whether you have a positive or negative experience. One of your desired factors may be living in a small neighbourhood with a strong community spirit. Many communities have a dedicated website or Facebook group that has a lot of local people. On the flip side, you may find community is not a determining factor but you are looking to find somewhere quiet. Either way, it can be a good idea to research the area and speak to the local estate agents.
A new work venture can be one of the most common reasons as to why people move home. Having a short commute to work would be ideal for many people as it can be a lot more cost-effective. When you are job hunting after the move, it can be good to research the area before moving. You can find out if there are any business parks close by or big companies that may have some vacancies.
These days, there is a large range of different types of property on the market for people to choose from. You might be looking for an end terrace with a lovely garden, or a modern, urban apartment. Either way, it can be good to look at different options available and find the one that is fitting for what you are looking for and can live comfortably for a good length of time.
Futher in the process once you’ve had an offer accepted, but sure it’s actually worth what you’ve paid for. Tp establish the true value as well as the overall condition, a property survey in Birmingham will be carried out. We do have a handy guide on what is a property survey and how a member of our team will be more than happy to reccomend the right survey for you.
Your new property may be your forever home which means it can be wise to look into whether there is any proposed investment in the area. If you find there are some proposed investments in the area, you need to think about whether this will you benefit you and the lifestyle you are looking for. You may find these changes could impact your perspective further down the line. For example, you may have found a quiet area that you like but there are plans for more housing development on the next street which could impact the overall environment.
Once you start to reach the end of your fixed mortgage term, if you’re not looking to sell up and find a new property, then it’s time to enquire about starting your Remortgage application!
Working from home has now become a popular option in the workplace. This might have been something that people never thought they would do and have preferred it when it’s been the only option for working. This has resulted in converting their kitchen, living room, or even remortgaging for a home office in Birmingham.
Once you’ve accumulated a large amount of savings for a deposit on your first property and are ready to take that first step on the property ladder. It’s now time to get you prepared for a mortgage in Birmingham!
We tend to find some First Time Buyers in Birmingham struggle to secure a mortgage because they have poor credit. You see, one lenders’ credit score can vary, some are more difficult to pass than others. Some lender can sometimes be quite reluctant in terms of informing you as to why you failed their lending criteria. This may be down to a mixture of reasons. Sometimes the lender themselves can’t precisely say why your application was unsuccessful because ‘it is not knowledge in their hands’.
We recommend you speak with one of our Mortgage Advisors in Birmingham. During your free initial mortgage appointment, we can obtain a up-to-date copy of your credit file. Next, we can search 1000’s of deals and find you a product with a lender. Finding you a lender to match your circumstances may help you have a better chance of succeeding with a mortgage.
For most lenders the larger your deposit, the more likely you will be accepted for a mortgage. A larger deposit can help pay off a larger chunk of the property value. This means that you’ll most likely borrow less and the lower the loan-to-value.
There are different ways to help Improve Your Credit Score in Birmingham like having a credit card that you should use regularly and making sure you pay off the full balance each month. Other ways include making sure you are on the voter’s roll and closing any old bank accounts, credit, and store cards that you are no longer using.
Here at Birminghammoneyman, our team will check that you match the lender’s criteria to make increase the chances of you passing their credit scoring before you submit your mortgage application to a lender. We aim to get this right first time!
We are here to help you find a deal that will match your financial circumstances, regardless of their situation, we try our best with all applicants, but cannot always guarantee success. Whether you have bad credit or good credit, we will strive in finding you a great mortgage deal through a lender that will accept your mortgage application.
Lenders have criteria that are individual to their products. This is why some lenders are more than others for your situation. Each lender usually has a niche for themselves in order to attract good quality mortgage borrowers who might not match the criteria of their competitors, so they can get ahead in the market. Below are some examples of why your application is getting declined for being outside of policy:
Through utilising our 20 plus years of experience as a reputable Mortgage Broker in Birmingham and access to a large panel of lenders and criteria, we can recommend the most appropriate mortgage tailored to your financial situation. Book your free mortgage appointment today, to speak with one of our Specialist Mortgage Advisors in Birmingham today, to see how they can help.
Before you take a further step on the property ladder, you will need to think about getting your existing property put on the market and sold. Once you have finally sold your current property, the equity will be used for your deposit for your next purchase. Additionally, you can top up this total from savings or a gifted deposit.
There is always that ‘magic number’ and a seller will always have a minimum asking price for their property, but are willing to hear out other offers. From a buyer and sellers’ viewpoint, a big factor that plays in all this is how the property is marketed and presented. Here are our mortgage advisors in Birmingham recommendations on how to how to sell your home quickly:
When deciding on your asking price, make sure to pick a sensible estimate that goes with the local area. An estate agent will inform you about the property’s highest value. However, this does not mean that it will get sold at that price. As soon as your listing is live, you want to attract as many buyers as you can. If you are finding it difficult to gain any interest, it may be because your asking price is too high.
If you have found a property and are looking to make an offer, but still currently living in your house, you will need to try and get a quick sale. This is why asking for a ‘fair’ price is a great way to start your Moving Home in Birmingham journey and fast.
As an open and honest mortgage broker in Birmingham, we have worked in this industry for 20 years, we tend to find one of the first things buyers look for in presentation. This is why how the property looks from the outside needs to look appealing to engage buyers. Remember, first impressions count, so you need to be aware of how your home looks from the outside.
It’s as simple as freshly jet-washed the drive and cutting the front lawn. This shows that you really look after your home and you want people to be impressed by it. This may also get people to think that the interior of your home will also provide that “feel-good factor”.
You never get a second chance to make a first impression. So, to improve your chances of selling your home quickly, you should try and make your house a great attraction.
Make sure to tidy up before you open your house up for viewing. In order for the viewer to feel welcome and comfortable inside your home. Removing all clutter that is lying around, especially from the front garden. When your viewer walks in, you want them to feel like the place has been looked after. This could be from making sure that your doorbell works to buying a cheap new doormat.
Go around your house, room by room and pay extra attention to your kitchen and bathroom as these are some of the most important parts of a house. Cupboards and wardrobes should be neatly stacked and free of clutter. If you are a smoker sometimes the smell of smoke can linger, so it may be an idea to open all windows and give the house a good airing before your potential buyer arrives.
Make sure that each room is well lit too, make sure to open all curtains and blinds in darker rooms. Your home should feel nice and warm but not too hot. All light bulbs should be tested before viewing to see if they are working.
You want potential buyers to feel as relaxed as possible. Sometimes putting out some family pictures or paintings to decorate the house a little bit. It’s just another friendly reminder that this is a family home. You should also let them explore on their own, don’t crowd them too much as they will want to discuss between themselves in private.
Again, make sure your kitchen and bathroom are completely spotless. Anything that isn’t in daily use should be put away hidden and make sure all towels should be neatly stacked away and not left on hooks of the floor.
Double-check everything too, your whole house needs to be cleaned from top to bottom. Make sure clothes are not lying around and the bedrooms are dust free. Even cleaning the floors and windows. All repairs should be up to date too and clean bedding on the beds, all these little things can make a huge impact in the long run.
Some people don’t realise that sometimes having empty space is good. This is because it allows your potential buyer to personalise their home a bit more. For example, an empty wall in a bedroom could actually benefit you, the buyer now knows that they will be able to do whatever they want to it.
Make sure everything is put away or thrown away if not needed. This can save you a job anyway for when you move! Having lots of room on your kitchen worktops too helps ensure that there is nothing lying around.
Having a garden can be the deciding factor for many property viewers. You need to make sure that there is no rubbish left outside.
We tend to find some people love seeing colorful gardens, so even flowers could do the trick. Anything to liven up your garden could really help you out. Removing weeds and dead flowers, cutting the grass, removing grass clippings also help.
First impressions count, remember to be welcoming, honest and most importantly yourself. There is just one set of potential buyers at the end of the day, there will be plenty more.
Sometimes creating a balanced view on every problem that you have encountered with the house can help, for example, if you had a problem with a leak, say how you easily fixed it and that it’s very unlikely to happen in the future again.
Estate agents will want to earn their commission by talking to the property viewers as much as possible, however, you need to remember that no one knows as much about the house as you do, so don’t be afraid to jump in and tell them more.
Remember if you are selling to a First Time Buyer in Birmingham and have a family it helps to mention how a happy home it has been for you, this is sure to rub off on the viewers if they are thinking of raising a family also.
Customers looking to obtain a mortgage will need to get an Agreement in Principle first from a mortgage lender. As the name suggests, an Agreement in Principle is a simple way to find out the maximum amount you can borrow to buy or remortgage a property in Birmingham.
You will receive an Agreement in Principle before the final checks, and whilst you won’t be guaranteed to be accepted for a mortgage. It means you are on the right path. First Time Buyers in Birmingham will find these benefits because it gives them a better idea of which properties you can afford and makes it easier to make offers.
Despite what others may say, a Mortgage in Principle can be known as a Decision in Principle (DIP), Agreement in Principle (AIP). They are all just different abbreviations depending on where you are located.
Armed with an Agreement in Principle, you have opened yourself up to negotiating on any offers. As you have shown the seller that you are a ‘serious’ buyer who owns that property, you have the funds to proceed.
Nowadays, more lenders choose soft credit searches as they leave your credit score unaffected instead of a hard credit search which can leave a severe imprint, especially if you don’t pass each time.
Weren’t not saying that a soft search will not affect you either, but it is not something that tends to happen often as soft searches don’t go quite as in-depth. However, your lender will have reasons for choosing one of the two.
If you do not have hard searches done regularly, then having one done shouldn’t make too much difference. What starts becoming a problem is when you start having a lot of different hard searches taken out on you within a short time.
If you are already aware of how good your credit rating is, don’t be put off by the idea of having a soft or hard credit search done, especially if the lender suggests doing so is the most suitable option for you.
Unfortunately not, even armed with an Agreement in Principle, we cannot guarantee you’ll be successful with a mortgage as your lender will still need to see all documentation to make a final decision.
We have spoken to a handful of customers after their application declined, as they have to miss the small print that requires them to obtain an Agreement in Principle beforehand.
To demonstrate to your lender that you can handle your money responsibly and someone who looks like a good candidate to start your mortgage process, you will provide them with proof of ID, the last three months payslips and bank statements.
Please remember that Self Employed Birmingham mortgage applicants looking to obtain a mortgage have slightly different lending criteria to meet.
Most estate agents will ask you for one of these as they will need to know you can proceed with your mortgage application. It’s worth trying, but we believe you would be far better off having on in hand.
As a fast and friendly Mortgage Broker in Birmingham, one of our mortgage advisors has a track record of obtaining you an Agreement in Principle within 24 hours from the start of your initial appointment.
Take your time and care when looking for that ‘dream’ property. There is plenty of time not to jump at the first house you see as an Agreement in Principle sometimes expires after the 30-90 days mark.
Need a little bit longer, no problem, our team of Mortgage Advisors in Birmingham can quickly turn around a new one once you find a property that looks right for you and is ready to put down an offer.
To counteract the feeling of disappointment if your lender comes back and declines you, we recommend getting an Agreement in Principle as early as possible to ensure you are mortgage ready for the process.
Have you been on the same mortgage rate ever since you’ve bought your property? If so, it may be time to spring clean your finances and get a mortgage review. Doing so may even allow you to access a more suitable mortgage deal!
To put it simply, getting a mortgage review is a look-over of your current mortgage product to check if you can get a better deal or not.
When applying for a mortgage review, your Mortgage Advisor in Birmingham will want to know all about your current deal so that they can compare products.
They will look at your current rate of interest, monthly payments, etc. as well as factoring in your current financial and personal situation. If your dedicated Mortgage Advisor in Birmingham can’t find a better deal for you, they’ll be honest with you and recommend that you stick with your current deal.
Spring cleaning your finances by getting a mortgage review could help you secure a competitive mortgage product. If you’ve been managing to keep up-to-date with your mortgage payments and have kept your credit score in the green, you may be able to get a better mortgage deal.
Having a mortgage review and then switching products to a new lender is called a remortgage, whereas having a mortgage review and then switching to a new deal with the same lender is called a product transfer. Depending on the deals available to you, it may be better to choose one over the other, or none at all, and stay on your current deal.
You must know that you are never guaranteed a better deal when you go for a mortgage review. It’s always worth the look though since you can receive a free mortgage review with one of our expert Remortgage Advisors in Birmingham.
As a Mortgage Broker in Birmingham, we would recommend that you take up our offer on a free mortgage review. When you choose Birminghammoneyman for a mortgage review, we will search through 1000’s mortgage deals on your behalf, trying to find the perfect one for you.
Our Mortgage Advisors in Birmingham will always try and match you with a deal that is best suited to your personal and financial situation. If we manage to find you a deal that we think will benefit your situation and you are happy to proceed, we will continue to the documentation process and submit your mortgage application.
If you prefer to do things on your own, there are price comparison websites out there that may help you find different types of mortgage deals. Although some products may look good, you should know that not every deal will have accounted for other costs that come with getting a mortgage.
In the past, we have seen customers who have switched online because they had seen a competitive rate, but have had to fork out extra money to compensate for additional costs that they weren’t aware of.
These extra charges may include product set-up fees, early repayment charges, etc. Furthermore, if you choose a Mortgage Broker in Birmingham, you will benefit from consumer protection.
If you want to, you can also go directly to your mortgage lender. If you want a mortgage review and want Remortgage Advice in Birmingham, this option may not always benefit your situation. This is because lenders can only offer you their own in-house products, they cannot access deals from anywhere else.
More often than not, lenders can also have long waiting lists, which is no good when your fixed-term is coming to an end and you want to switch products. A responsive Mortgage Broker in Birmingham like us will be able to get you booked in for a free remortgage consultation/review within 24 hours of your initial inquiry.
If you are tied into a mortgage deal and want to remortgage, you may have to pay a fee to switch deals. This fee is called an early repayment charge or an ERC. You’ll have to pay this when you pay off a loan too early or switch mortgage products mid-way through your fixed mortgage period.
In Birmingham, our Mortgage Advisors will take any ERC’s into account when assessing the financial benefit of applying for a remortgage.
Once you complete your fixed mortgage term, it’s likely that you’ll end up falling straight onto your lender’s standard variable rate of interest (SVR). When you are on this rate, it’s unlikely that you’ll have to pay an ERC when switching deals.
You should also know that the SVR for your lender is probably higher than your current fixed rate of interest. Lenders SVR tracks the Bank of England’s base rate plus their own percentage and that’s why it can be expensive to remain on this rate.
We have lots of experience in the remortgage game, we have been helping our customers remortgage for over 20 years now. Our Remortgage Advisors in Birmingham are just a call away from helping you through your remortgage application. Now is a great time to spring clean your mortgage!
Book your free mortgage appointment online with a Mortgage Advisor in Birmingham today. We are more than happy to help and can’t wait to hear from you.
We often find that there are a lot of questions within the mortgage industry that crop up regularly with our Mortgage Advisors in Birmingham. So, we have compiled a list of some of the more popular subjects to ease customers worries:
Usually, there is no risk of getting turned down for a mortgage if you have childcare costs involved, as most people who Remortgage in Birmingham would tend to have had children after Moving Home for a bigger space.
When you submit a mortgage application, you will need to provide evidence of your income, as well as details of all your outgoings, such as your childcare costs and utility bills.
If your childcare costs are enormous, then this is likely to have an impact on the maximum amount you’ll be able to borrow.
When it comes to childcare costs, lenders affordability assessment varies. Meaning that your maximum borrowing capacity will differ from lender to lender, this is where a Mortgage Broker in Birmingham can help you.
Some lenders will also consider child benefits and other state benefits, sometimes squeezing up the maximum mortgage allowable.
Choosing us to help you in your mortgage journey, our Mortgage Advisors in Birmingham can search thousands of deals and find you the most suitable lender who is likely to take a more flexible approach to your circumstances.
Nobody takes out a mortgage with their partner only to end up separating further down the line, and the process can be pretty upsetting. Unfortunately, not everything works out, and you end up in this situation. You will need to sort out many things, mainly sorting out your financial situation.
Being linked with one another, you will need to remove that link and prove you can be financially independent, and this isn’t as easy as it sounds; removing your financial relations from others can be complicated.
As a Mortgage Broker in Birmingham, we’ve seen many different situations where a divorce or separation has impacted a mortgage. You need to prove to the lender that you are financially stable and can keep up all the repayments by yourself.
When people come to us for Specialist Mortgage Advice in Birmingham, here are usually the questions we receive regarding this topic:
Just bear in mind that it’s all about the risk as far as lenders are concerned. They ideally look to avoid repossession situations at all costs.
We recommend you get in touch for Specialist Mortgage Advice in Birmingham. Please book your free mortgage appointment to speak with one of our fantastic mortgage team today.
Some lenders require you to have been at work continuously for a particular time, whereas others are more lenient with this.
If you are at the stage of starting a new job shortly, you may still be eligible to obtain a mortgage if you have a signed contract and job offer letter. Although it’s essential to remember that gaps in employment may be a problem with lenders – probationary periods are usually okay.
These days, Anti-Money Laundering precautions are pretty stringent. To abide by these precautions, all lenders will need you to evidence your deposit and where the money originated. Your lender, solicitor and the estate agent you are buying from may ask you for this too.
Cash is not acceptable. The bank will question any significant cash deposit, which could lead to a rejection of your application.
All of your deposit coming from a gift can be a regular occurrence and is possible. There needs to be written evidence from the person gifting you the money that it is a gift, not a loan.
As an experienced Mortgage Broker in Birmingham, we have lots of valuable experience, and we know what lenders are looking for in mortgage applicants.
They are constantly relying on credit scoring, which most high street lenders now do to save them time and money and produce consistent decisions.
If you find it challenging to match with lenders criteria, it could be the perfect time to speak to a Mortgage Broker in Birmingham, like us. We can talk you through some simple steps you can take to improve your chances of your mortgage application being successful.
Speaking to a Mortgage Advisor in Birmingham could get you a couple of steps closer to securing a mortgage deal. These steps can be straightforward to do. We will help you all of the ways through the mortgage process. Get in touch to speak to an expert Mortgage Advisor in Birmingham today.
What you are trying to achieve and how your financial situation looks determines how much deposit you need to put down to purchase a property in Birmingham. Here your open and honest Mortgage Broker in Birmingham will break down how much you might need given your situation.
The times of 100% and 125% mortgages are now firmly in the past. Now that the Credit Crunch is a thing of the past, lenders seem more confident about offering customers the ability to take out a 95% mortgage. Before being eligible to take out your mortgage, it is necessary that you prove to the lender that you can keep up your monthly repayments responsibly and on time.
Proving to do so will assure the lender that they can trust you and that you are not a risk to them in the future. The last thing a lender will want to deal with is for a borrower to be reckless with their income and fall into arrears, which would mean the lender has to repossess the home.
Saving for a deposit is often viewed as the most challenging part of the process for many First Time Buyers in Birmingham and one of the biggest hurdles in the property market. Along with this, various factors could make it seem even more intimidating to someone without experience in this field.
There are often many questions about deposits, so here at our Mortgage Broker in Birmingham, we try and answer as many as we can for our customers in need.
Pre-2007, before the market crashed and we entered the Credit Crunch, 100% mortgages were readily available for First-Time Buyers in Birmingham. In some cases, mortgage lenders were even offering 125% loan-to-value mortgages. What this means is, if you were buying a property valued at £125,000, they would lend you up to £150,000.
To reduce their lending risk, lenders will need you to put down a deposit. If they lend you 100% of the purchase price and, unfortunately, fall into arrears, they would need to repossess the property. It would only take a slight fluctuation in that area’s house prices, which would be a loss on their end.
Also, if you haven’t invested some money, whether it be from your income or a relative’s, into your home, then suddenly encountered any hurdles during your term, it would be too easy for you to “walk away”. Not to mention that if you cannot save up a deposit of at least 5% of the property purchase price, you may not be financially ready for such a significant commitment just yet.
If you happen to put down a larger deposit than the usual standard, then more often than not, you’ll find that your lender may offer you a lower interest rate. Again, this all comes down to risk because they will lend you less, making you less of a risk. It is essential to know that products are offered in different bands of 5%, with 95% of Mortgages being the most costly of the lot.
You might find that this is indeed a possibility in some cases, though it is not very common. Your mortgage lender will consider it as a monthly payment and therefore put it down as an additional credit commitment on your part. As this is the case, you will likely be granted a smaller mortgage rather than the one you originally would have qualified for if you had not borrowed the deposit from a credit provider.
Mortgage lenders widely dislike this because although part of the payment will be going to another party, you are essentially borrowing 100% of the purchase price, plus interest on both the mortgage and the loan individually.
The majority of mortgage lenders will accept a gifted deposit, and these can come from a variety of people. Generally speaking, this is from friends and family. There are specific rules that the ‘donor’ will have to adhere to, such as confirming that it is purely a gift and not a loan that is needed to be paid back at any point in time. They must also provide ID and proof of funds to help the lenders out with anti-money laundering regulations.
We can safely say that if it weren’t for the ‘Bank of Mum and Dad’, the property market would look completely different.
As mentioned earlier, various specific forms of ID and documents are needed to evidence where your funds came from, as lenders like to see how your income has been built up and how you have saved up.
If it is showing in your account that you have had any large deposits moved into your bank account recently, then you will need to provide the lender with documents to evidence exactly where it came from.
For example, if you have recently sold something expensive like a car or something highly valued that you’ve been holding onto, you will need to provide the receipt and how much you sold the asset for, which should match the amount shown in your bank account.
Large cash deposits usually present themselves as a significant problem, especially when it comes to audit trials. Unfortunately, this can sometimes be one of the trickiest parts of the application. The longer the funds have been in your account, the easier life will be for you and the lender.
If you are selling your home or a property in your portfolio, then the Memorandum of Sale provided by the Estate Agent will be sufficient proof.
If you qualify for the Government’s Help to Buy Scheme, the minimum deposit required will still be 5%. You can top this up to 25% via the equity loan, which will allow you to obtain a lower rate mortgage. A vital factor to bear in mind is that if you consider this option, then the 20% deposit provided by the Government is to be seen as a loan. Whereas a Gifted Deposit is a gift, the Government Loan will need to be paid back.
You may not always necessarily need a deposit for a property. If the house is worth £100,000, and you have been offered it at some form of discount, for example, £90,000, then some Lenders will accept this as your deposit. This works well if you have the Right to Buy Scheme from your Local Authority or other social landlords, as you may be offered a discount here too.