Tips on Improving Your Mortgage Chances
A range of factors can influence the outcome of your mortgage application. Such as employment status, type of property, plus each lender has different criteria for assessing mortgage applications.
Here are some tips to boost your chances of getting your mortgage application approved.
Regular Income and Stable Job
If you’re in stable, long-term employment, lenders are more likely to approve your application. You need to be employed for a certain number of months before applying. If you only started or plan to move jobs, it's best to hold off on applying for a little bit.
This is important as lenders need to know you’ll pay them back without issue. If you’ve been in long-term employment, they know this is a steady and secure set of income you’re receiving.
Get on the Electoral Register
Lenders do check if you’re registered to vote at your current address. It’s a way to validate your identity and where you live.
You need to build a good credit history to show that you can handle money. You can get a free statutory report from credit agencies, however, make sure you double-check the report, mistakes can happen which can lower your score. You should contact the credit agencies if you spot anything strange.
If your credit history is weak, lenders are more reluctant to lend to you, you’ll need to spend some time building your history. However, if you’ve missed bill payments or have had previous debt issues this can really mark your record and make things slightly more difficult.
The more you can put on your deposit the more it’ll boost your odds of your application being accepted. Currently, you only need a deposit of 5%, if you can't save more than this you could have a family member act as a guarantor.
Make sure you have all the relevant paperwork needed before submitting your application to the lender.
Be careful when filling out any forms, small mistakes could cause big delays and may result in you needing to do a whole new form.
Finally, don’t apply for multiple mortgages at the same time. This will bring down your credit score. Talk to a mortgage broker to help you select the best mortgage lender.
These are just a few ways to up your chances of getting approved for a mortgage. You should always get professional advice, especially if you have had credit issues in the past.
If you are thinking about selling and need advice, please do get in touch with our team here.