Two independent financial advisors from our advisory panel, Peter Edmonds and Ben Wilkins, answer the key questions from first-time buyers about getting on the property ladder. Watch the video or read their answers below.
We do not receive any commission or financial reward for recommending any financial advisors from our panel and you are able to seek independent advice should you wish to do so.
How much deposit do I need to save?
The minimum deposit required will be 5% of the purchase price.
Who qualifies as a first-time buyer?
Generally, anybody who has never owned a property anywhere in the world.
How do I know what I can afford?
Get a copy of your credit file so you can actually see what is on there in terms of the way you have behaved financially. The second step is if you're looking to get a mortgage to purchase a property, then make contact with the mortgage broker and share that information with them so they can review your options.
Do I have to pay stamp duty as a first-time buyer?
Depends on the purchase price. If the property is anything up to £425,000, the rate of stamp duty is zero for a first-time buyer. Above that and up to £625,000 it's 5%.
What are variable and fixed-rate mortgages?
So with a variable rate mortgage, as the name suggests, the rate of interest will change and therefore your monthly payments will change. With a fixed rate mortgage, the payments are fixed for a period of time, and therefore for many clients, especially first-time buyers, they like that because they can budget.
Is now a good time to buy?
Whilst it's true to say that rates have obviously gone up, as the Bank of England base rate has gone up. Mortgage interest rates have gone down, which is the best part really.
We can help you buy your first home
With a £5,000 deposit contribution and £3,000 towards your utility bills, our Perfect Start package can help to get you onto the property ladder.
