If you’re looking for a mortgage on your own with one salary, either as a one-income family or as a single applicant; you may think your options are limited but this isn’t necessarily the case. Whilst you may need to work harder to get the finances you need in place; some careful planning can help put you in the best possible position to get you into your new home. Here are our top 6 tips on how to get a mortgage on your own.
Clear any debt
A lender will establish your affordability based on a number of factors, including your committed monthly expenditure. If you can reduce this amount by clearing any debts you currently have; such as an outstanding credit card balance, you’ll improve your chances of being approved for a mortgage.
Be realistic about your borrowing
Our team understand that we can all get carried away when it comes to shopping; but when it comes to buying a property, it really is important to make sure you consider your limit and stick to it. We highly recommend setting some time aside to sit down and go through your finances. Consider how much you can comfortably afford to pay each month without forgetting your other necessary expenses.
A lender will advise you on the maximum amount you can afford to borrow, but this doesn’t mean you actually need to borrow that much. Be realistic and try to give yourself some flexibility with what you can comfortably afford on your own.
Do your homework
Taking advice will almost certainly be helpful unless you’re very experienced in the financial industry, and mortgages in particular. However, it’s worth spending some time doing your research to get a basic understanding of the mortgage process and the types of mortgages that are available.
Save, save, save
We understand that saving for your first home can seem like an endless task; especially if you’re buying on your own, but stick with it as it will be worth it in the end. In short, the bigger deposit you have, the more attractive you’ll be to lenders. The more equity you have, the lower the risk you represent. Having a larger deposit also means you will have a lower LTV (loan to value), which will give you access to a wider variety of mortgage deals.
Protect yourself
You’ve put in all this effort to secure your home with one income, it’s important to make sure you have the right insurances in place. Here at The Residential Mortgage Hub, our team offer full insurance and protection advice to help you find and select the right policy for your needs and circumstances.
Use a mortgage broker
We may seem somewhat biased but regardless of whether you’re single or not; speaking to a mortgage broker means that you have easy access to expert advice and the whole of the market. If you’ve got any questions or concerns about having a mortgage on your own, please get in touch with us today and we can arrange an appointment at a time to suit you.
