Becoming a homeowner for the first time is one of the most exciting yet daunting experiences of your entire life. Thanks to economic uncertainty, and countless other political variables in the process, getting on the property ladder is now harder than ever, especially for the younger generation.
The simple fact is that banks are now far more careful with how much money they lend out, and who they lend the money to. As difficult as it is to get a mortgage, it is still very possible, and if you know the ins and outs of how the process works, things become a whole lot simpler. Today we are going to clear up a few common myths about mortgages which are simply not true.
If you’ve gambled in the past your odds of approval are reduced
Okay, first off, lenders are apprehensive when it comes to regular gambling, so if you gamble very regularly, and spend what some may consider a lot, this will work against you. If however, you decided to place a cheeky bet on Ireland winning the Eurovision Song Contest, or if you had a flutter on the horses a few months back, this will not harm your chances of approval in the slightest. Regular gambling which some would consider excess will, the odd flutter now and then however, will not.
If you’re single you won’t be approved
Another common myth associated with mortgages is that single people are far less-likely to be approved than couples. This is simply not true. The lenders don’t care whether you are single or a couple, all they care about is whether you can realistically afford to pay back to money each month, and whether you have demonstrated that you can save and manage your finances well. So, if you are single and want to get on the property ladder, don’t let this myth put you off.
You must be a long-term customer of the bank for them to lend to you
Again, this is another myth associated with mortgages which is simply not true. it doesn’t matter whether you have banked with them since you left school, or if you opened up an account yesterday, they will treat you no differently when it comes to giving you a mortgage. Speak to the lenders, let them your financial situation and ultimately what you’re looking for, and see what the best deal is that they can offer you.
If you’re self-employed you won’t be considered
Once more, this is another myth that is very popular, and we can’t understand why. Thanks to the internet, there are now more and more self-employed people than ever before – many of whom earn a very good living from what they do. In terms of getting a mortgage, as long as you can provide three years of audited accounts to prove that what you’re saying about your finances is true, you will be as likely to be approved for a mortgage as somebody in full-time employment for a large firm in the city.