Only one in five buyers can get a mortgage on the first try, and most fail due to a number of common but easy-to-fix mistakes. Holly Herbet, out WeBuyAnyHouse.co.uk, offered some wise advice for first time buyers looking to place themselves on the property ladder.
Bad credit rating
Bad credit is one of the first things a bank should look out for when testing your eligibility for a mortgage.
Mrs. Herbert told Express.co.uk: “Applicants should always check their creditworthiness before applying, as poor scores can result in immediate rejection.
“For those with a low score, they can delay an application and work on their score to build it in different ways. A popular option is to get a credit card and use it regularly to demonstrate financial responsibility and stability.”
Not registered to vote
Entering the electoral register not only helps you exercise your democratic rights – it shows lenders that you have a permanent address.
“A lot of applicants don’t know that this can cause problems,” said Ms. Herbert.
“Failure to register to vote and be at the right address can create huge problems. Check this out before you apply.”
While you might want to step up the ladder, applying it multiple times can hurt your chances of getting a dream home.
Ms. Herbert advised: “A failed or unsuccessful mortgage application will leave a footprint on your credit file. So if you submit an application a month or two after the rejection, it could lead to another rejection.
“If possible, allow at least six months between applications to avoid previous problems with further problems with the application.”