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First Time Buyer Mortgage Advice for a successful Remortgage Transaction in the UK.


The first mortgage you take out for the purchase of the property is actually the mortgage that has possession of your property, or sale of your property, should you default on your first mortgage. The first mortgage is your original mortgage on the property before you reportage and get a second or third mortgage later down the track to use your property as collateral for a loan. The first is the most important since it is the one that will last the longest time and until it is paid off you may be unable to sell your property without the mortgage lenders approval and you cannot use the property for any use, i.e. massive redevelopment without your mortgage lenders approval.

Getting a stable low cost first mortgage could mean that you can pay off your home years faster and with much less cost than rushing in and getting the first mortgage that someone will allow you to have. Generally the first time buyer mortgage is the one people spend the most time shopping around for and then any additional reportages are done through the same mortgage lender to save potential costs on legal fees and complications. It is very important that your first mortgage has the capability to adjust to your situation so that in 5 years if you suddenly earn a great deal more you can easily and without paying any penalty fees. It is also important to note that the first mortgage will usually be the lowest you can get a interest rate for any second mortgages since the second mortgage will be of higher risk to the lender than the first since the first mortgage needs to be paid out completely by proceeds from the sale of the property before any money will go towards paying out a second mortgage if you default on your mortgages.