House purchase mortgage expert in London.

The amount of money that you can borrow will depend on factors such as your income, your outgoings, your credit score, and your ability to make mortgage payments also as interest rates rise.

Furthermore, each mortgage lender has their own lending affordability assessment calculation, and they may be prepared to lend you different amounts.

Our mortgage calculator will give you an indicative amount that you may be able to borrow.

And you should speak to Your Mortgage Experts for the best available house purchase mortgage deals.

The minimum deposit is typically 5% of the total property purchase price.

However, the more money you have for a deposit, the better – as with a larger deposit the Loan-To-Value ratio (or LTV, which is the ratio between the mortgage amount and the value of the property) will be lower. And with a lower LTV, you will be able to access the cheapest mortgage interest rates.

The deposit will typically come from your own savings. However If you are lucky enough to receive help from parents or family, you can use any gifted money towards your deposit.

Porting a mortgage can be a good idea if you need to pay early repayment charges (ERCs) for leaving your current mortgage deal early. The other benefit of porting a mortgage may

Furthermore, if your current mortgage deal is on a low interest rate, by porting the mortgage, you will continue to benefit from that low rate until the product deal ends.

There may be a fee from your lender for porting your mortgage, but it may still be significantly less than any ERCs.

However, you can only port your existing mortgage balance. Should you need a bigger mortgage to purchase your new property, you would need to find a “top up” deal, that would typically be on a higher interest rate; the top up amount may also not be sufficient to enable your target property purchase, whilst a new mortgage (remortgage) with a different lender could let you borrow all the money that you need.

Both options would need to be looked at on their own merits, with pros and cons each.

Yes, funds that you may be able to raise from an existing property can be used towards the deposit for a new property purchase. The ability to raise funds will largely depend on two factors: (1) how much equity you have left in the property, and (2) the affordability assessment. Providing you meet those tests, you will be able to get money “out” of a property, to use for a further property purchase.

If you plan to move home and want to keep your current home to rent it out, and raise money from it, you may be able to do so. This is also called let-to-buy. You can get a let-to-buy mortgage providing that there is sufficient equity in your existing home, and that you satisfy the lender’s criteria.

If you do not plan to raise any funds from your existing home, but simply want to rent it out, you may still need a buy to let mortgage. Alternatively, you may ask your current exiting residential mortgage lender for their consent to let, which might involve switching your mortgage to a buy to let rate – however, not all lenders will allow this.

Alternatively, you can remortgage to a different lender on a buy to let deal. If you plan to stick with your current lender, you must inform them that you intend to rent out your home.

A Mortgage in Principle, or Agreement in Principle (AIP), or Decision in Principle (DIP), or Mortgage Promise, is a preliminary statement from a mortgage lender indicating what you might be able to borrow.

It is generally a good idea to get a mortgage in principle when you set off to look to purchase a property, so that you will have more confidence in the amount that you may be able to borrow with the mortgage. Furthermore, estate agents may ask you for one, as it is a way to qualify you as a potential credible buyer.

When choosing your mortgage, there are a number of thing that you need to take into account:

1. First, how much you can borrow. The amount that you can borrow will depend on your income and outgoings, as well as the deposit you have to put down.  Mortgage lenders will also apply “income multiples”, that will limit the amount they are prepared to lend you as a multiple of your earned income.
2. Secondly you need to allocate your available deposit. A typical deposit will be at least 5% of the property’s value. However, if you have a higher deposit, you will be able to access mortgages with competitive rates as you’ll be considered a lower risk.
3. You want to take into account all costs involved. Alongside saving for a deposit, you’ll also need to save up for other costs – including stamp duty that may apply, legal fees and moving costs.
4. Importantly, budget for your mortgage monthly repayments. You will not want to stretch your monthly budget, and a mortgage has to ultimately be affordable. One way to reduce the monthly mortgage payment is to choose a longer mortgage term. However, the longer your mortgage term, the more interest you’ll end up paying over the term of the mortgage.

Mortgage lenders will check your credit profile at the credit bureaux, such as Equifax, Experian or TransUnion.

It is a good idea to check your credit score by contacting directly one of those main credit bureaux and obtain your credit report.

If you have a good credit score, you would generally qualify for the best available mortgages in the market. If your credit score is not good, you may be rejected by mainstream mortgage lenders; however, there are specialist mortgage lenders that could still consider you, depending on your specific circumstances.

It is very important that you are registered to vote, as this is one of the main ways that mortgage lenders verify your identity and address.

Please also make sure that you are registered at your current address; if you are unsure, please double check you’re not still registered at a previous address.

If you are not a UK, EU or qualifying Commonwealth national – and therefore can’t register to vote, please let us know as there would be other requirements and information to provide in order to verify your identity and address.

You can easily register on the elector roll at the link here.

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