
Applying for a mortgage can feel like jumping from a diving board. Many people let fear get into their heads. Eventually, anxiety wins, and would-be homeowners decide to step away from the edge rather than take the leap.
However, applying for a mortgage isn’t scary, and it doesn’t take courage. Instead, it’s one of the most exciting experiences of your life when you get a mortgage offer!
In this article, we break down some of the myths that stop people from applying for a mortgage and buying their dream homes. We’ll show you just how easy getting on the property ladder is, especially when you have the help of an expert broker.
Myth One – You Can’t Get a Mortgage If You Have a Bad Credit Score
Your credit score does not dictate whether you are eligible for a mortgage. Although a good score does help, a bad one isn’t the end of the world.
Some lenders specialise in helping people with bad credit. Typically, you won’t find them on the high street, so working with a whole-of-market broker is your best way in.
These lenders will judge their decision on how recent your bad credit is and its severity. So, don’t let old credit card debts or forgotten overdrafts stop you from buying your dream home!
Myth Two – You Can’t Get a Mortgage If You’re Self-Employed
This is another myth that plagues many business owners. It puts some people off opening their own businesses! The only truth to this myth is that some lenders don’t know how to deal with complex cases of people with varying incomes, so they turn self-employed people away.
Different lenders offer different products for self-employed people. Some will base their offer on dividends, the wage you pay yourself, or in some cases, your profit.
If you have been rejected by one lender or broker in the past, then don’t let this put you off. You just need to find a team who has experience dealing with ‘complex’ cases.
Myth Three – You Should Find a Property Before Applying for a Mortgage
This myth could be one of the most harmful ones, as it causes many people to lose a house that they’ve fallen in love with.
Here is how this myth normally plays out. A young couple finds a house that immediately feels like home. However, the owner of the property is in a chain and wants to move quickly. They’re excited by the prospect of a first-time buyer with no house to sell because it means that the sales process will be quicker.
However, the couple doesn’t have an offer in principle. Then, while they run around different lenders trying to get this offer together, the homeowner sells their property to someone else, disgruntled by how long the couple is taking.
Buying a property means acting fast. Having a mortgage offer in place before you go viewing houses gives you this speed. An offer also tells you how much you can afford; who knows, you might have a bigger budget than you think!
A Myth-Busting Broker, At Your Service
We specialise in making the impossible possible. Whether you’re struggling with a bad credit score, you’re self-employed, or you have any other anxieties that are preventing you from making the move of a lifetime, we are here to help.
Let us give you a boost onto the property ladder with a free, no-obligation consultation. We’ll even get you a mortgage in principle so that you can go out there and find your new home. Like we said earlier in the article, buying a property is all about acting fast, so click here and arrange your consultation today.
