Are you dreaming of owning your own home but feel overwhelmed by the mortgage process? Fear not! There are so many innovative ways to get your foot on the property ladder, even if you think a mortgage is out of reach. Let's explore just a few of these exciting and lesser-known solutions that may help you buy or remortgage and also importantly save money!
1. Borrow the Deposit from a Relative – With a Twist!
One of the biggest hurdles to homeownership is saving for a deposit. But what if a close relative could lend you the deposit without locking that money away as equity in your mortgage? One forward-thinking lender allows exactly this! Here's how it works:
The Lender's Unique Offer: A close relative can lend you the deposit needed to secure your mortgage.
Flexible Repayment: This money isn’t locked in permanently. The lender allows the relative to get their money back after five years, plus interest.
Financial Security: Your relative doesn’t have to gift the money permanently and even earns a return, similar to what they would get from a savings account.
This innovative approach not only helps you secure a home but also provides peace of mind to your generous relative.
2. Higher Income Multiples for Professionals
Are you a professional with a starting salary that is likely to jump significantly over the years? There's a lender that understands your financial trajectory and is willing to lend up to six times your current income.
Standard vs. Professional Loans: Most lenders cap their loans at 4.49 times your income. For example, on an annual salary of £25,000, the loan might be around £112,250. However, a professional might be eligible for around £150,000.
Future Earnings Consideration: This lender recognizes that your earnings will grow, providing you with more substantial funding to buy your dream home now.
3. Teacher-Friendly Mortgages
Calling all teachers! If you have a contract for the next school year but face difficulties with lenders due to the start date being months away, there's good news:
Understanding Lenders: Some lenders understand the academic employment cycle and won’t penalize you for having a contract starting in the future.
Three-Month Rule: For the majority of lenders you can get a mortgage even when you havent started your job yet as long as you will be starting within 3 months.
4. Buy-to-Let on a Modest Income
Did you know you don’t need a massive income to invest in property? If you have a deposit ready, doors to buy-to-let opportunities may open for you.
Deposit is Key: With a suitable deposit, your income level becomes less critical.
Investment Opportunities: This approach can help you enter the property market as a landlord, potentially generating rental income and capital growth.
5. Long-Term Mortgage Products
Hate the hassle of remortgaging every few years? There are mortgage products designed for the entire term of your mortgage, which can save you time, money, and stress.
Cost Savings: Reduce the costs associated with remortgaging, such as solicitor fees and various charges.
Flexibility: Depending on your needs, you might be able to make changes to your mortgage without incurring early repayment charges.
6. Save on Insurance Costs
If you’ve set up insurance through your bank, you might be paying more than necessary. Banks often add a ‘loading’ to your payment for the convenience of arranging insurance through them.
Quick and Simple: It may be cheaper and easier to have your insurance arranged through GoGreen than through the banks as GoGreen ensure there is no 'loading'.
GoGreen Assistance: Let GoGreen help you arrange your insurance directly with providers, ensuring you get the best deal and direct support when needed.
If the worst happens: Call GoGreen at first instance if anything has happened for support and assistance, we will be there by your side when you need us most!
For more tips and personalized advice on how to get into your new home as quickly and affordably as possible, get in touch with a member of the GoGreen team. We’re here to help you navigate the path to homeownership with innovative solutions tailored to your unique situation.
Ready to make your homeownership dreams come true? Contact GoGreen today and let’s get started! sarah.hubbard@gogreenfs.co.uk 01635 242939
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