Five steps to becoming mortgage-ready in 2022

Getting a mortgage can sometimes feel like an uphill struggle. With the surge in homeowners and first-time buyers looking to move, how do you know if you’re ready?

Here are a number of things you need to consider before applying for a mortgage in 2022.

1. Have you reviewed your finances?

At least six months before you look at applying for a mortgage, you need to ensure all of your finances are in order.

– Avoid applying for too many credit cards or other loans.

– Don’t miss any payments on outstanding debts.

 

2. Boost your credit score

In order to loan money from the bank, you need to make sure you have a strong credit score.

This serves as evidence that you can keep up with the monthly payments.

Being linked to someone with a poor score can reduce your chances of being approved.

 

3. Save for your deposit

The size of your deposit will impact the rates that you’re offered and the amount you can borrow.

It is also worth noting that an increasing number of lenders are now paying closer attention to how first-time buyers are saving, and whether they have had to rely on financial support family members.

 

4. Have a dependable income

Your employment status and income will be looked into when applying. Lenders need to know if there is a stable income that can cover repayments.

Try holding off any job moves as it may raise concerns about your suitability. Be prepared to provide bank statements, any P60s and proof of deposit.

 

5. Register to vote

This is a simple step that is often forgotten in the process of a mortgage application.

Sometimes lenders will use the electoral roll to check things such as names and addresses.

Don’t forget registering to vote also improves your credit score!

 

As with all important financial decisions , it is important to speak with the most relevant experts to ensure you are fully prepared and protected.

Our team of financial experts are independent advisors with access to the whole market. Unlike when shopping for insurance quotes, going direct to the bank or lender can often cost more than going through independent advisors like our team at HARDISTY FINANCIAL. We can often offer better deals than going direct as lenders give us preferential rates due to the volume of business we refer to them.

It pays to talk to us, if you would like to request a consultation with one of our HARDISTY FINANCIAL advisors, please let us know.

 

LOOKING TO BUY YOUR FIRST HOME? Let our mortgage team find you the best deal without the hassle, we'll even take care of all the paperwork!


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