8 Tips For Getting Onto The Property Ladder

Most of us dream of owning our own home at some point in our lives. If you’re like me, you dream of decorating each room to your personal taste and style, getting lost in homeware shops and spending your days creating and loving the space you’ve beautifully designed. 

Now’s the time to stop daydreaming, and start turning those dreams (and numerous Pinterest boards) into a reality. So how can you own your own home and get onto the property ladder?

Here are our top tips for getting onto the property ladder.

8 Tips for getting onto the property ladder

image of house on keychain
  1. Employment

In order to qualify for a mortgage, you need to have a regular income. It sounds obvious but this often means having secure employment as the amount you are paid annually will help determine how much of a mortgage you qualify for. Banks will use your annual income as a way of gauging how much they’re willing to lend you and what you can afford. 

To kickstart your way onto the property ladder, make sure you have secure employment with a regular income and it’ll make your journey easier. 

  1. Pay off or reduce debt

When you’re looking to get onto the property ladder, it’s a good idea to pay off or reduce and pay down any debt that you may have. This will help when it comes to mortgage lenders considering your affordability and what they’re willing to offer you.

It is advisable to make sure that you don’t miss any payments, always pay on time and if you can, pay a little bit extra off your monthly bill.

  1. Start saving

This is possibly the most important stage in the house buying process. But, saving for a deposit on a house is quite possibly one of the most expensive things you’ll ever have to save for. It typically takes a few years to build up enough savings for a 5%, 10%, or 15%+ on a house as a first-time buyer. Patience is definitely required and a little bit of self-control and budgeting, but it will be worth it in the end. The sooner you start saving, the better.

  1. Improve your credit score

A credit score is important when it comes to buying a house. The report will detail any outstanding credit agreements you have, such as car finance, credit cards, loans, mobile phone plans and shows whether you have made the repayments on time and in full.

A bank or a building society will use this information to determine whether or not they are willing to lend to you. To improve your score you can make sure you don’t miss any repayments or choose to repay more than the minimum amount each month on any outstanding credit card balances.

It’s also important to be registered to vote, without which it will be harder to obtain credit if you’re not listed on the electoral roll. 

If you don’t have a credit card, it is worth taking one out and using it to pay for regular outgoings to help build your credit score and allow the report to showcase your track record with credit. But, always remember to pay the balance in full each month.

  1. Consider buying schemes

If you’re a first-time buyer, there are a fair few affordable buying schemes available to help you get onto the property ladder. It’s worth having a look at what’s out there and available to you, as this may help you get onto the ladder sooner.

At the time of writing, the government offered home ownership schemes currently available are the Help to Buy Equity Loan, the Shared Ownership Scheme and the Help to Buy ISA.

  1. Can you get any help from family or friends?

When seriously considering getting onto the property ladder, if you are able to and in a position to, then you can ask a relative, friend or family member if they are willing to help you out financially or as a guarantor on your mortgage. This can help you out if you’re close to reaching your deposit target and just need that extra boost – particularly if the house of your dreams has come onto the market and you want to put in an offer and secure it!

  1. Don’t be afraid to start small

Your first home probably won’t be your dream home, and that’s ok. Start small and stick within your budget. The most important thing is selecting a property you like, but you may have to compromise on a few bits. Even if it’s a one-bedroom apartment, it doesn’t matter, the main thing is getting your foot in the door and on that ladder. This will help you build up equity and allow you to trade up in the future. Just remember that everyone has to start somewhere.

  1. Be realistic

Last but not least, be realistic in your expectations. The average first-time buyer is in their early thirties, between 31 and 33, so if you’re in a position to buy your first house before this, you’re doing well.

Contact Robin Mortgage Design

If you are looking for a first-time mortgage, no matter where you’re based, whether it’s in Milton Keynes, Crowthorpe or Essex, you will want to discuss your options with a mortgage broker first before you start looking for a house.

We hope this short article gives you hope and if you would like to discuss your options with a human being, then our team of professional mortgage advisers at Robin Mortgage Design would be happy to help. Just give us a call on 0333 242 386, alternatively, you can fill out our online enquiry form, and we’ll be in touch with you shortly.