First time buyers- A journey.
Being a first-time buyer can feel exciting, but also pretty overwhelming. With average house prices over £311,000 and deposits often more than £61,000, the dream of homeownership can seem out of reach before you even start.
The good news? Over 341,000 people bought their first homes last year, many with the help of a mortgage advisor who guided them through every step.
What can the journey look like?
We share some tips and hear from a real first time buyer client journey below.
Start early, you’ll thank yourself later
One of the biggest mistakes first-time buyers make is waiting too long to speak to a mortgage advisor. Often, people only reach out after they’ve found a home or even had an offer accepted.
But speaking to a broker early gives you a real advantage. You’ll:
- Get a clear picture of what you can afford
- Understand the full cost of buying, not just the deposit
- Set a realistic savings goal from the outset
- Avoid unnecessary delays or surprises
Starting early means less stress, smarter planning and a smoother path to your new home.
Saving smarter, not harder
Saving for your deposit can feel like a daunting challenge, but a clear, manageable plan can make all the difference.
Start by reviewing your current finances to set realistic savings goals.
Consider government-backed options like the Lifetime ISA, which can add a 25% bonus on your savings up to certain limits.
Small changes in daily spending, like cutting back on non-essential purchases or switching to cheaper alternatives, can add up over time.
By tracking your progress and staying consistent, you’ll be surprised how much closer you get to your goal without needing to overhaul your entire lifestyle.
How much can you actually afford?
Before you start house hunting, it’s crucial to get a realistic picture of what you can comfortably afford, not just what the bank might lend you.
Begin by carefully reviewing your monthly income, current debts, and everyday expenses to understand how much you can realistically set aside for mortgage payments without stretching your budget too thin.
Getting a Decision in Principle (DIP) early on is a smart step, it outlines your borrowing limit based on your financial situation, helping you narrow down properties within your reach.
This way, you avoid the disappointment of falling for a home that’s beyond your means and can focus your search on what truly fits your budget and lifestyle.
Cleaning up your finances
A strong mortgage application starts with healthy finances. That means:
- Checking your credit report
- Paying down debts
- Avoiding overdrafts and Buy Now Pay Later
- Keeping all regular payments on time
Doing this early boosts your chances of approval and could help you secure a better rate.
Be ready before you apply
Make sure you have these key documents ready:
- Recent payslips (usually last 3 months)
- Bank statements (last 3 months)
- Valid photo ID (passport or driving licence)
- Proof of deposit (savings statements or gift letters)
More than just a deposit
Aside from your deposit, you’ll need to budget for legal fees, surveys, stamp duty (if necessary), and insurance.
Some costs can be added to your mortgage, but many must be paid upfront.
Confused by the jargon? We aren’t surprised!
Mortgage terms can be confusing—here are a few explained:
- Loan-to-Value (LTV): The percentage of the property price you’re borrowing.
- Affordability: How much you can realistically afford to repay each month.
- Decision in Principle (DIP): A lender’s early indication of how much they might lend you.
Knowing these terms helps you feel more confident when applying for a mortgage.
Why mortgage advisors matter for first-time buyers
Being a first time buyer can feel overwhelming, and the mortgage process isn’t always straightforward.
As a mortgage advisor we can explain your options clearly, help you understand the steps, and answer your questions along the way.
We’re here to support you, so you don’t have to navigate it all alone or feel unsure about decisions.
