Mortgaging is one of the most significant commitments one has to ever make in life. Therefore, when mortgaging, you have to ensure that you are getting the best deal possible—and getting your mortgage approved may be another hassle. However, the best part is that there’s a lot you can do to boost your chances of getting your mortgage application approved. When planning to get a mortgage, there are few factors that one needs to be aware of that affect your eligibility. Some of these factors include; Credit score, length of employment, existing debts if you’re self-employed, and the size of your deposit. Therefore, before applying for mortgages in Kirbyville, be aware that the mentioned factors will be used to determine your eligibility.
Listed below are some of the tips on how you can successfully get a mortgage.
- Check your credit rating
Ensure you get a copy of your credit report from credit reference companies before applying for a mortgage. You’ll be able to see what lenders see when they examine your application using this tool. If your credit score isn’t quite where you want it to be, there are a few simple things you can do to improve it. Check to see if you’re on the electoral roll, and cancel any credit card accounts you don’t use. This will help increase your ratings, making you viable for a mortgage
- Consider your budget
Calculating your math is necessary before you think of having a mortgage. Before applying for a mortgage, sit down and make a budget. You must ensure that you can borrow enough money to meet the property’s price and that you will have enough money left over to cover any connected charges. Therefore, doing your math and including monthly repayments and interests will help you determine if you are viable.
- Do not switch your job
In most cases, lenders will be more pleased to offer them to people who have worked in a specific place for an extended period before getting a mortgage. Therefore, you’re thinking of changing jobs, wait until you’ve secured your mortgage. Before looking for a new job, it’s usually a good idea to have been at your current work for at least three to six months.
- Ensure you have no debts
Ensure that before applying for a mortgage, you have cleared any preexisting debt. This will show that you handle your money wisely, and any mortgage application you submit will be more likely to be approved. When it comes to a lender’s affordability calculations, it also means you may be able to borrow more.
- Ensure you have proof of income or account if self-employed
Before applying for a mortgage, ensure you verify your income, such as a P60 form. In most cases, lenders may also request bank statements and payslips so the lender can see how much money you bring in and how much money you spend. Additionally, it can e trickier if you are self-employed. Lenders want confirmation that you can make your payments, so they’ll often request an SA302 form from HMRC for the last three years or your entire accounts for the previous three years. If you don’t have these, it’s doubtful that you’ll be approved for a mortgage.