First Time Buyers Fail To Shop Around -

Home
>
Mortgage Refinance
>
First Time Buyers Fail To Shop Around

First Time Buyers Fail To Shop Around

Almost two thirds of first time buyers accept the first mortgage they are offered and fail to shop around, often missing out on better deals.

Many first time buyers feel pressurised by their estate agents into quickly organising a mortgage for fear of losing out on a property or are attracted to a low interest rate without looking at the mortgage deal as a whole.

However, with such a vast range of mortgage lenders to choose from, first time buyers are well advised to step back and do a little research before they commit.

There are a number of places to find good mortgage deals:

Speak to your bank

Your bank or building society may provide special offers to their account holders, but don't feel that you have to accept their offer through customer loyalty as there are many other places to look.

Consult with a financial advisor

Financial advisors can offer you a range of mortgage deals to choose from that are appropriate to your circumstances. Some financial advisors offer free advice, but can only provide a limited range of mortgages, through which they earn a commission.

Independent financial advisors will offer a wider range of deals, but you may need to pay them to provide this advice. However, this is often a worthwhile investment, as commission earnings do not influence the advisor, so the mortgage is more likely to meet your requirements.

Get on the net

A search on Google will generate a list of hundreds of UK mortgage providers to choose from. Many will have online mortgage calculators, to give you an idea of your repayments.

Alternatively you can use financial comparison sites, such as MoneySupermarket.com to do the work for you. Simply enter your requirements and let the comparison site search hundreds of providers to provide you with the best deals.

Don't always depend on the rate

Don't always assume that a low interest rate makes a cheap mortgage. Providers often use low rate deals to attract new customers, however you may end up paying more money in the long-term.

Check the small print of the mortgage and find out if you will be penalised financially for opting out of the deal early or if there are any hidden costs.

Don Suter is Managing Editor of the UK Property Portal (http://www.ukpropertyportal.co.uk), an online directory and magazine for UK property sales, rental, surveyors, mortgages, conveyancing, property insurance, removals, news, investment and development

Further help for first time buyers

For more information on buying your first home, take a look at our First Time Buyer's Guide.

In The News:

Mortgage Refinance Options to Think About
3x24 - Your Newspaper and News Magazine, Germany - Aug 26, 2008
Very few people in the world can afford to purchase a home in one payment so the world of mortgages and mortgage payments ‘came to be’. Mortgage refinance ...

Mortgage applications up 1st time in 3 weeks: report
Reuters - Aug 27, 2008
The Mortgage Bankers Association said its seasonally adjusted index of mortgage applications, which includes both purchase and refinance loans, ...
Mortgage applications rise 0.5% as most rates dip USA Today
More mortgage tips: The lowdown on home loans Indianapolis Star
Mortgage applications up for first time in three weeks MarketWatch
3x24 - Your Newspaper and News Magazine - Arizona Republicall 23 news articles

Boston Globe
Are mortgage-backed bonds a buy?
RightSide Advisors, CA - 13 hours ago
Even then, it may only materialize should either entity fail to refinance its debt or puncture a minimum capital threshold. ...
Housing fix backfires CNN
Sale of debt steadies Freddie Chicago Tribune
The Fannie and Freddie Bail-out: Sooner Than You Think FOXBusiness
guardian.co.ukall 1,238 news articles

Pittsburgh Post Gazette
Baldwin Township couple, among millions facing foreclosure in US ...
Pittsburgh Post Gazette, PA - 20 hours ago
NeighborWorks has since April been assisting them in getting their mortgage refinanced at a fixed rate of 7.95 percent through a state program called the ...

HispanicBusiness.com
FHA to raise mortgage insurance premiums
Reuters - Aug 27, 2008
... has turned its back on the mortgage market. The FHA is expected to soon refinance thousands of troubled borrowers under a foreclosure-prevention program ...
FHA Hikes Mortgage Premiums Housing Wire
Letters to the Editor Owen Sound Sun Times
Higher Fees for Mortgages New York Times
Forbes - Bloombergall 46 news articles

Taking Home Mortgage Loans
3x24 - Your Newspaper and News Magazine, Germany - Aug 25, 2008
by John Bear Planning to refinance your current mortgage? There are actually several options that are available for you. There are also a number of reasons ...
Personal Loans For People With Bad Credit 3x24 - Your Newspaper and News Magazine
all 3 news articles

The Truth About Mortgage Refinancing Revealed By Louisiana ...
SBWire (press release), WI - Aug 22, 2008
Baton Rouge, Louisiana based Mortgage Broker Melanie Rogers reveals mortgage refinancing secrets at a new web site that is full of free reports, ...

Mortgage Applications Increase Slightly In Latest MBA Weekly Survey
Originator Times - Aug 27, 2008
The refinance share of mortgage activity increased to 35.2 percent of total applications from 34.8 percent the previous week. The adjustable-rate mortgage ...
Mortgage Applications Increase — or Did They? Housing Wire
all 2 news articles

The Going Rate
U.S. News & World Report, DC - Aug 27, 2008
Question: Now that interest rates have come down, do you think it makes sense to refinance the mortgage that we took out to buy our company's building? ...

Fitch rates PHH Mortgage Trust, series 2008-CIM2 residential ...
StreetInsider.com (subscription), MI - 2 hours ago
Cash-out and rate/term refinance loans represent 17.86% and 31.28% of the pool, respectively. Second and investor-occupied homes account for 9.48% and 0.29% ...

mortgage refinance - Google News