Becoming a homeowner for the first time can be both exciting and daunting. This quick guide takes you through the home buying process, from the initial looking to that exciting occasion when you actually move into your home.
Great! To help get you started, take a look through our step-by-step guide to help you work your way through the home-buying process.
Before you go through this guide, it might be worth seeing what kind of mortgages there are. After all, you’ll almost certainly need one to buy your home.
Here at the West Brom, you’ll find a wide range of mortgages, designed specifically to meet your particular financial circumstances, including competitive fixed and discount variable rate mortgages. We can also help you choose the one that feels best for you.
Fixed rate mortgages - If you want the peace of mind of knowing what your mortgage payments will be every month, then a fixed rate mortgage could be for you. This type of mortgage fixes your interest rate for an agreed period of time and means your rate won’t be affected by changes in the Bank of England’s Bank Rate, whether it goes up or down.
Tracker mortgages - A tracker mortgage follows and tracks movements of another rate. This is usually the Bank Rate. As a result, you could benefit from cheaper mortgage payments when the Bank Rate is low; but you’ll also need to budget for higher mortgage payments should the Bank Rate go up.
Variable rate mortgages - There are several types of variable rate mortgages, including standard variable and discount, typically offering a discount for a set period off a lenders standard variable rate. They don’t offer protection from future rate increases but you could benefit from cheaper payments when interest rates are low. Standard variable rates are usually set by individual lenders, so they might change without the Bank Rate moving. If we change our standard variable rate, we’ll write to you with plenty of notice to let you know if your mortgage payments will be going up or down.
From time to time, the West Brom may launch or withdraw certain types of mortgages and change its product range.
As you’ll probably be aware, when applying for a mortgage you will need to put down a deposit towards the house. This might be anything from 5% deposit to a much larger deposit. It’s worth bearing in mind that the more you’re able to put down as a deposit, the lower your repayments are likely to be. This is because, first of all, you’re paying off a smaller loan and, secondly, the lower the Loan to Value (LTV) the lower the interest rate. Above all, whatever you opt for, the most important thing is that you feel it’s affordable.
So, you’ve decided now’s the time to buy your own home. It’s likely to be the biggest financial outlay in your life to date, which can make it a pretty daunting prospect. With this in mind, the West Brom has come up with a guide to help you each step of the way by outlining what happens at every stage of the process.
The expense of buying your first home is not just about the price of the property. As a first time buyer it’s vital to bear in mind the other costs involved. For starters, there’s the deposit. If you’re buying a house for around £150,000 and want to put down a 10% deposit, that’s £15,000 you’ll need to have saved.
That’s not all. There are the other costs you usually come across when buying a property.
Click here to view our Fees breakdown infographic.
Find out how to apply for a mortgage with the West Brom.
Got all the information you need? Head over to view our mortgage products that may be suitable for you.