The Costs of Buying a Home in Derby

A question that we regularly get from customers, is how much will their process actually cost? Generally speaking, First Time Buyers in Derby are the ones who reach out to ask this question the most.

Because of this, we have put together a handy list of the different fees you can expect to pay throughout your mortgage journey, and the different points at which they become payable.

Estate agency fees

Estate agent fees will generally only be payable if you are selling a home. With general interest in online estate agents on the rise constantly, you can sell your home with much lower fees on a basic Rightmove listing.

On the other hand, if you are looking for a more localised and personal service provided by a dedicated sales negotiator in a local branch, you will be looking at a fee somewhere around 1-2%.

Valuation fees

Your mortgage lender will require that you have a valuation carried out on your new home. This is to determine the value of said property, to confirm that it is worth the amount you’re looking to borrow.

The costs of a valuation can vary from nothing at all (for a basic valuation with some lenders), all the way up to well over £100 for a much more detailed Home Buyers’ Report. A full Building Survey can potentially cost more than that.

Really, being able to choose which report you would like is the key here. The valuation you decide will vary based on the age and type of the property you’re looking to buy, as well as any concerns you have.

If it’s a newer property, you may want a basic valuation. If you are buying a period property, you’ll probably want a more in-depth report.

Mortgage arrangement fees

Some of the mortgage products that you will find, will have cheaper rates. Occasionally though, the arrangement fee can outweigh how cheap it is.

This isn’t always the case, as there are products that won’t have a fee, meaning they cost nothing. That being said though, some might have a fee and they could be quite costly, depending on your lender or product.

You may have the choice to either add these to your mortgage balance or pay these upfront. If you add these to your mortgage, you may incur additional interest charges.

Solicitor’s fees

You will need to hire the services of a solicitor, and the fees for these can be very different depending on who you speak to. With a local company and a straightforward property purchase, you may find it’ll be around the mid hundreds.

When dealing with a solicitor, you will need to give them your property address. This will apply whether leasehold or freehold. In order to obtain a quotation, they’ll also need to know the purchase price.

The key points to cover when asking for a quote are:

  • Ensure the firm includes VAT
  • Is your Solicitor on your mortgage lenders panel?
  • Ensure the firm includes the cost of any “disbursements.” These are fees such as Land Registry Fees and Local Authority Search Fees.

Stamp duty

You may need to pay an extra tax on your home, which your solicitor will collect on the completion of your purchase of the property. Further details about who this applies to can be found here: https://www.gov.uk/stamp-duty-land-tax.

Mortgage broker fees

A trusted and experienced Mortgage Broker in Derby will typically charge their own service fee. The fee amount will vary depending on the case and the mortgage advisor.

Removal fees

The cost of removing your furniture from your home can vary depending on who you use and the service you are looking for. Hiring a van to do it yourself may be a cheaper option than hiring a removal service, though they will be more efficient.

Book a Free Mortgage Appointment

To learn more about your mortgage options or to get started on your mortgage process, book your free mortgage appointment with one of our mortgage advisors in Derby today. We have frequent appointment availability, at times that are convenient to you.

How Much Can I Borrow for a Mortgage in Derby?

How Much Can I Borrow For A Mortgage | MoneymanTV

Here at Derbymoneyman, we find the two questions First Time Buyers and Home Movers in Derby commonly ask us is ‘Can I get a mortgage in my circumstance?’ and ‘How much can I borrow?’. In this article, we will be discussing the second question as this has changed drastically in the past decade.

Historic rules for borrowing for a mortgage in Derby

Prior to the days of credit scoring, your local Building Society Manager would manually assess mortgages. To make the process more consistent and reliable, the 1990s introduced the idea of lenders carrying out more regular income assessments.

In order to lower the number of mortgages being accepted to people who couldn’t afford one, a lending cap was introduced. This prevented people from borrowing more than three to four times their annual income.

To receive more applications, lenders started to become more generous with this leading cap as well as their conditions. There were even some lenders who accepted customers a mortgage without any background checks such as payslips. This would eventually become the catalyst for the credit crunch in 2007. In the midst of the credit crunch, lenders were requesting a 20-30% deposit, which made it very difficult to obtain a mortgage as a first time buyer in Derby or if you were moving home in Derby.

Mid 2000s approach

In the early 2000s, lenders became flexible in their criteria a lot more, arguably being too generous in the amount they would be willing to lend their customers.

Depending on the lender, some people were offered self-certified mortgages. These type of mortgages meant you were not required to have a background check so as the customer, you could self certify your income, regardless if the buyer falsely inflated the amount they were declaring.

Due to many people carrying out self certified mortgages, the market fell. This began the infamous Credit Crunch of 2008, from then to 2010, these became a very difficult times.

This especially effected individuals who were wanting to take their first step onto the property ladder. At that time, stricter lending criteria was to be put in place due to lenders having to change.

Mortgage Market Review 2014

As the market made a recovery, the Mortgage Market Review (MMR) 2014 was created to provide an updated and sounder credit scoring system. The MMR was a set of requirements that lenders had to follow. Nowadays, lenders can determine if an applicant will be able to pay off their mortgage based on their financial state through the affordability calculator.

Lenders can use the calculator to receive a more meticulous insight into an applicant’s spending habits as well as net disposable income. A thorough assessment of your bank statement is carried out to ensure that if you can’t afford a mortgage, then you are not granted one as you could have been prior.

Deeper analysis

With this assessment, you will find that the majority of lenders will no longer go past 4.75 times your annual income.

As mentioned, lenders will look into your spending habits and the way they analyse these depends on your situation. For example, you may have to pay high childcare costs, have a large number of credit commitments and in some circumstances, you might be paying off your student loan. With this in mind, a mortgage lender will likely offer you less than your work colleague for example, who has fewer outgoings.

These days, there is a distinctive difference between lenders when it comes to how much or little they will lend to some customers. Now and again, lenders have been known to penalise low-earners. 

The reason for this might be that they are looking for that type of applicant. They may lend if they see pension contributions as a fixed outgoing, in particular, to customers who have a significant deduction, less than a private-sector worker.

With every lender comes a very unique lending criteria, and every customer has its own circumstance, in the case that you need to maximise your borrowing capacity to have a chance at buying your dream home.

Lender Variances

Lenders will always be competitive when it comes to price and lending criteria, however, they will avoid competing for the lowest rate as this will provide no profit gain for them. Furthermore, this will be highlighted through the difference between lenders and their maximum borrowing capacity. Different lenders target for different niches of clients therefore don’t feel it’s inevitable that one lender won’t lender to you as there will be another out there who would.

State benefits like tax credits are factors lenders will take into account for a mortgage. Some lenders may be more generous if you are for a self-employed mortgage in Derby. Increasing the amount they will lend can be done through extending the term of the mortgage to the maximum allowable.

How can a Mortgage Advisor in Derby help?

Seeking Mortgage Advice in Derby can be very beneficial. On behalf of the customer, our team will search the market to try and match you to various lenders criteria.

When it comes to knowing the maximum amount you can borrow for a mortgage and your repayments, book your free mortgage appointment online today to speak with one of our expert Mortgage Advisors in Derby. They are determined to make sure your process run as smoothly as possible and search through thousands of mortgage deals to find you the most suitable for your circumstances.

Capital Raising Mortgage Advice in Derby

Fast & Friendly Remortgage Advice in Derby

If you have any amount of equity currently in your property and are looking at your options for potentially Capital Raising, then a Remortgage in Derby could be something you can feel the benefit of.

We often see that mortgage lenders, for the most part, will allow customers to borrow up to 90% of the value of the property.

Below are a handful of examples of how a Capital Raising mortgage can be used by people currently owning a home in Derby:

  • To fund any possible home improvements like a home extension or loft conversion.
  • To consolidate any debts they have accrued over time (definitely speak to a specialist advisor in Derby before doing this, it should not be done on a whim).
  • So that they can help their children find their footing on the property ladder.
  • As a means of purchasing a second home/property in their portfolio.
  • To fund a large purchase such as a car or holiday.

Will a Capital Raising mortgage benefit me?

Taking out a Capital Raising mortgage may be a way for you to potentially ward off any financial issues sooner rather than later.

Whilst having lower interest rates and increasing the amount you borrow for your mortgage may mean paying more monthly, this sort of route may prove more financially viable than taking out any unsecured loans.

Again though, this likely means more being added to your monthly mortgage repayments, for much longer than you originally signed up for, and you may also have to pay an Early Repayment Charge (ERC) as you’ll technically be changing your mortgage.

Saving your Time, Saving your Money – Mortgage Broker in Derby

As a Mortgage Broker in Derby with a wealth of knowledge and experience under our belt, we have a rich history of helping all kinds of customers with their mortgage needs, especially those who are reaching the end of their term and are looking to Remortgage in Derby.

A member of our dedicated team will give you expert mortgage advice on the right path for you to take. If Capital Raising is right for you, your advisor will move forward with that plan.

If they believe that it isn’t right for you, they will advise otherwise and discuss how else you can achieve your goals.

If you are in need of any help to find you the best capital raising mortgage deal for your current personal and financial situation, please feel free to contact us and get yourself booked in for a free mortgage appointment.

You’ll get roughly 45 minutes with a mortgage advisor in Derby who will discuss your requirements and look at how best to proceed.

For any homeowners who are maybe past the age of 55, it may be more appropriate for you to look at Equity Release in Derby.

A Guide to Remortgages in Derby: Top Reasons to Consider

Remortgage Advice feat Mortgage Advisor Wayne | MoneymanTV

Remortgage Advice in Derby

Your experience within the world of mortgages can be full of rewards. By the end of your process, one of the following options will apply to you;

  • You’ll have your dream home to settle down in and maybe one day start a family.
  • Perhaps you’ll have a property you can use to push you further up the property ladder in the future.
  • You’ll have an investment purchase that may provide some extra income.

Regardless of which of these was the desired route, eventually you will reach the end of your mortgage term and need to think about what comes next. At this point you will have a few different options;

  • You could sell your home and move into a bigger or smaller property.
  • You may wish to put your property portfolio up for sale and look for a different investment route.
  • The most common choice amongst our customers though is to take out a remortgage on their home.

What is a remortgage?

A remortgage is where you will utilise funds that have been borrowed from a new mortgage, to pay off your existing mortgage.

Those looking to remortgage in Derby will have a variety of different options to choose from, with both minor and much larger options available depending on the circumstances.

Remortgage for Better Interest Rates

Predominantly you’ll find that the initial mortgage deal you’re on will last for somewhere around 2-5 years, featuring lower fixed rates or even some rates that have been discounted.

Sometimes customers may even be placed onto a tracker mortgage which follows alongside the Bank of England’s base rate.

Most likely, the majority of customers will end up on their lenders Standard Variable Rate once their term has ended. This may be shortened to SVR online.

To give a brief summary, an SVR is a mortgage with an interest rate that is decided depending on what the lender wishes to charge, with the number subject to change.

This does not follow the Bank of England’s base rate like you would find on a tracker mortgage.

Because of how they work, Standard Variable Rates are typically the most expensive mortgage paths a customer can take, which is why many instead look at if they can remortgage for better rate.

In the long term this will hopefully save you some money on your mortgage repayments per calendar month.

Remortgage for Home Improvements

Remortgage for Home Improvements During Lockdown | MoneymanTV

A couple of years into your home residence, you may feel like you need something new, something more.

Perhaps you require an extra room or additional living space for your children or furniture, a remodelled kitchen, a new home office, or maybe even a loft conversion.

Rather than just moving into a larger house, a lot of homeowners release equity that exists in their home by taking out a remortgage once their term ends. Doing so can allow them to fund the costs of any home improvements they wish to see undertaken.

Project planning and managing these undertakings can be a little nerve-racking, especially when you also have to obtain planning permission to do any of these projects.

It’s worth noting though that many other homeowners would likely say that it’s a lot less stressful and more rewarding to modify the existing home you know and love, than go through the process of moving home.

At some point in the future, your plans could benefit you even more. This is because creating more space and having good quality craftsmanship has a good chance of increasing your properties value, something that is useful for if you ever do decide to sell up or rent out.

Remortgage for Changes to Your Term

We often find that the customers who contact us are also looking at their options to remortgage in Derby for a better mortgage term.

This can be achieved by reducing the length of the term they are on or switching to a more suitable and flexible mortgage product.

Reducing the length of your mortgage term means that you won’t be paying your mortgage back for as long as you otherwise would’ve, though it increases your monthly mortgage repayments.

The longer that your mortgage term lasts, the lower you’ll make your monthly repayments.

In some cases, customers may prefer to go for a more flexible mortgage term. Doing this may result in you having the option to overpay at a later date, which pays it off even quicker.

Flexible mortgages may also allow a homeowner to carry the same mortgage and rates over to another property, should it ever be necessary in the future.

The concept of a flexible mortgage sounds like it would be perfect for most customers, though they usually be taken out as a tracker mortgage, which as touched upon previously runs alongside the Bank of England base rate.

What this means is that your monthly mortgage payments could differ depending on the interest rate, making them a bit unreliable and inconsistent.

Equity Release

As property prices have risen since the 2007 market crash, most homeowners should have an amount of equity sitting in their property.

The amount of this can be worked out by looking at the difference between the remaining mortgage balance and the current property value.

As mentioned before, many homeowners will use a remortgage as a means to fund any home alterations they’re looking to make. There are still options out there beyond that though.

Some homeowners instead look to use it so that they can cover long-term care costs, provide a boost to their income, take a dream holiday, pay off an existing interest-only mortgage, or simply give them some extra cash to spend.

Every so often when customers get in touch, we’ll also find that some buy-to-let landlords in Derby will use equity release as a means of covering the deposit that they require to purchase further properties for their portfolio.

Remortgage to Consolidate Debt

Following on from the topic of equity release, it’s also important to talk about customers who use their equity to pay off any unsecured debts that they may have potentially accrued over time.

Though on the surface it may seem like a relatively simple concept, debt consolidation will not only take into account the amount of debt owed, but also the properties value and how your credit rating looks at that time.

The factors they look into may actually result in you being limited on how much you can borrow for a remortgage, depending on your personal and financial circumstances.

Further to this, if you are serious about using this to pay off your previous mortgage and your debts, you will need to borrow a greater amount than your outstanding mortgage. Chances are, this will increase your monthly mortgage payments.

None of this situation is particularly ideal, though at least you have the piece of mind that should you absolutely need the help, you have some options to choose from.

If credit rating is in quite a damaged state, there are still routes that you could take in order to find mortgage success. Please remember that these will not be easy and will require very specialist remortgage advice in Derby before you go ahead with them.

Even with a specialist mortgage advisor in Derby to help you out, there are no guarantees that obtaining a mortgage will be 100% possible.

Please always enquire with an experienced mortgage broker in Derby prior to consolidating and securing any debts against your main asset, that being your home.

Experienced Mortgage Advisors in Derby – Get in Touch

If you are a homeowner with a mortgage term that is reaching its end and are curious of what your options may be for remortgaging, we would absolutely suggest that you speak with an experienced and reputable mortgage broker in Derby like Derbymoneyman.

Your dedicated mortgage advisor in Derby will have a chat with you about your circumstances, creating a solid plan of action for the next step of your home owning journey.

We always our aim to ensure that the second journey through the mortgage process goes quicker and smoother than your first. Customer satisfaction is at the heart of what we do.

Can I Get a Second Mortgage in Derby?

Can I take out a Second Mortgage? | MoneymanTV

Can you have more than one mortgage?

The idea of having one mortgage can stress people out, never mind two! That said, some people weren’t aware that it was possible to have two or more mortgages.

Many various costs come with a second mortgage, and there are many different reasons why someone might want more than one mortgage.

Common Scenarios for Wanting a Second Mortgage

  1. Do you want a second mortgage to raise money for your existing home?
  2. Are you looking to rent out your current home and purchase a new one?
  3. Are you looking to help your children out with a second mortgage?
  4. Do you require a buy to let mortgage to secure a property in Derby?
  5. Is your name on an existing mortgage, and you are looking to buy a new property?

Second Mortgage to Raise Money

If you have a large amount of equity built up in your home and are looking to release some to fund for a second mortgage to purchase a new home, home improvements or on another property for your portfolio.

Then this is something an experienced mortgage advice team in Derby, like ourselves, can look into for you.

You’ll often find towards the back end of your mortgage that you will be heading onto or potentially already are on a lender’s Standard Variable Rate (SVR).

Our team of advisors may be able to shop around to find you a more competitive deal. Another potential option could be an advance with your current lender.

Second Mortgage to Rent out Existing Home to Purchase a new one

If you are looking into the possibility of moving house but securing full ownership of your current property to let it out, this is another case where having a second mortgage would be suitable.

Your second mortgage will be a new residential one, taken out on a property after raising funds from renting out the previous home. This particular process is known as a let to buy mortgage.

Second Mortgage for a Buy to Let

Some homeowners may look to release the equity sitting in their property, using that income to buy an additional property to add to their portfolio.

Second Mortgage to Purchase a Home for Your Children

We are now seeing more situations where a homeowner may wish to take out a remortgage to release equity to gift their child a substantial deposit.

Gifted deposits are a widely popular option for many first time buyers in Derby who otherwise wouldn’t have gotten on the property ladder any other way.

Named on Existing Mortgage and Want to buy a new Home

A second mortgage may apply to other circumstances, such as financial complications present with a divorce or separation.

You may not always be able to get out of your joint mortgage straight away, if at all, but may wish to take out a mortgage on a home of your own once you’ve moved out.

If you have any questions regarding second mortgages, please do not hesitate to get in touch.

You can now book yourself in for a free mortgage appointment to speak with a dedicated mortgage advisor in Derby at a time that suits you and your lifestyle.

Difficulties Getting a Mortgage in Derby

Specialist Mortgage Advice in Derby

Through our experience as a mortgage broker in Derby, we have found that there are a lot of questions within the mortgage industry that come up regularly. To relieve clients worries, below is a list of common difficulties you may get into:

Childcare costs

If childcare costs are involved, you usually aren’t as at risk of getting turned down for a mortgage. Potential outgoings of childcare costs can sometimes affect affordability. This is something you should consider as the lender may grant you a lower mortgage amount because of your childcare, in comparison to an applicant who may have the same amount of income but have no children. 

Childcare costs are usually associated with a loan or credit commitment. Parents can still be granted a lower mortgage without the childcare costs and the mortgage amount may still be lower than applicants who aren’t parents. This is because lender’s affordability calculators often factor in having kids in as some additional expense. 

Child benefits and other state benefits can be something lenders will consider. In some cases, increase the amount they will be willing to lend you.

Mortgage following Divorce/Separation

Nobody ever plans ahead in buying jointly with a partner, expecting to eventually get a divorce or to separate. Unfortunately, this happens more often than you might think. When divorce or separation occurs, certain files and documents need to go through changes such as a name change on a mortgage and inquiring as to whether or not a person is allowed two mortgages.

It’s a requirement that you get in-depth mortgage advice in Derby for instances like names to be removed and for someone to be allowed two mortgages. In the circumstance where you receive maintenance, this usually is put towards your income for a mortgage.

Starting a new job – Can I get a Mortgage?

Surprisingly, this is a lot easier than people might think. In some cases, the lender’s criteria may require the applicant to be in work continuously for a period of time while some lenders are flexible with this. Even if you are still in your first job, and haven’t been employed with anyone else, you may still be able to get a mortgage.

Obtaining a signed contract and job offer when you’re starting a new job can give enable you to get a mortgage. Gaps in employment might be a problem with lenders, which is something to remember and probationary periods are typically acceptable.

Proving your deposit

The years after the financial crash have seen Anti-Money Laundering precautions become stricter. Lenders will want you to evidence where your money for the deposit has come from. This is something solicitors and estate agents might want to discuss with you.

Due to this, any large amounts that you want to deposit will be questioned and could mean your application will be at risk of being rejected. This can be a common occurrence for first time buyers in Derby.

It’s common for some applicants to have a ‘gifted deposit’. In this case, the person who decides to gift your deposit will need to confirm in writing that it is not a loan and is just a gift. 

Open and Honest Mortgage Advisors in Derby

The Importance of Changing Your Address Ahead of a Mortgage

Getting Ready For a Mortgage in Derby

It’s important to remember that you need to be careful with your credit score when it comes to applying for a mortgage. This is because you’re more likely to be accepted for a mortgage if your credit score is higher. Addresses can be one of the factors that can affect your credit score. Having fewer addresses on your record is best, however, people have been taking this in the wrong direction. 

In some cases, where applicants have moved out of their parents’ address into rented accommodation, they have left the address they previously lived in on their bank statements, credit card, and electoral roll information. 

The reason many do this is that they believe that it could help their credit, but this is simply not true. If anything it can make it worse, because even if you don’t think it will show up, if you have moved to a new address, it will be recorded somewhere on your credit report.

This could be from when you have ordered online and your delivery address is shown, or can be from a car/home insurance search. Basically, the address will link to your credit report from anything you have done involving a payment.

Check Before You Apply For a Mortgage in Derby

Before carrying out a credit search and applying for a mortgage, it’s good to check that nothing will go against you. The things that will need to be switched to your new residential address includes both credit cards and current accounts as well as the electoral roll. 

These checks only apply in situations where you have already moved out of your parents or previous home, as usually you only change your address after you’ve moved in, not before. If you are in a situation where you have already moved in and are paying off a mortgage, it’s imperative that you update your address to reduce any harm in the future if you are looking to remortgage.

Updating your address on your credit file and the electoral roll is something that people forget to do, however, it can make a huge difference too. As well as this, being accurate on the date in which you moved into your rented apartment/new home and the day you left is important because, making a mistake with these dates can sometimes make it look like you’re living in two places at once. 

Impress The Mortgage Lender

You need to demonstrate that you are responsible and take your financial life seriously. Therefore, you need to make sure that every bit of information on your file is up to date to show the lender that you are fully prepared. Impressing your lender is something you want to do ahead of applying for a mortgage and, by doing this, you conduct yourself in a more open and honest way.

Get in Touch for Mortgage Advice in Derby

Having no mortgage experience as a first time buyer in Derby can be difficult, this is why we are here to offer you a helping hand. Get in touch if you still need some mortgage advice in Derby or you are looking for some insight from a professional mortgage advisor and we’ll see how we can help.

Remortgage For A Home Office | Mortgage Advice In Derby

Remortgaging your home in Derby

Thanks in part to COVID 19, there are a lot of people who are now working from home. It has become a way of working that some people prefer and is something that many people are sticking with permanently.

Technology has allowed people to easily communicate to their colleagues from their homes through video calls and allowed people to have access to everything they need. Having access to a computer, at least, can allow you to be flexible with your work environments like home or office, regardless of what job you have.

How to remortgage for a home office in Derby

If you are looking to renovate your property for a home office, and need to raise additional funds to carry out the work, our mortgage advisors in Derby can help look at your capital raising remortgage options. In many cases, we find people remodel their spare room or a garage as their chosen office space.

Finding a suitable remortgage deal is the next thing to do. This could be done either on your own or with the support of a mortgage broker in Derby. It’s entirely up to you. Another option is to go to the bank directly, but they will only provide deals that are offered in-house.

There are thousands of deals out there so, shopping around can be a good option and this is something you can do with the assistance of a mortgage advisor. You will probably find that the deals the bank offers aren’t as good compared to the ones you may find when you shop around. 

Getting a helping hand from one of our knowledgeable mortgage advisors in Derby can be beneficial. We can search through thousands of remortgage deals for you to find the one tailored to your circumstance and future plans.

The costs of a home office in Derby

To kick off the process, start with estimating how much you think the costs for the works are going to be. The costs might range between £5,000 to £15,000. The room size and the amount of work that is needed to transform the room into a fully-fledged office will be factored in the amount you might have to pay.

Remortgaging seems to be in its prime time due to the interest rates being the lowest we have seen in a while. For example, if you manage to get a 2% interest rate on a typical 25-year mortgage term, to borrow an additional £5,000 you may only pay back £21 per month and £65 a month might allow you to borrow an additional £15,000.

The change in working from home could potentially save you money in travel every week. It will also have a big benefit on the environment by reducing your carbon footprint and will allow you to work flexibly around daily errands such as the school run.

Are you looking to remortgage for home improvements?

Get in touch with a knowledgeable remortgage advisor in Derby if you are looking at converting a spare room or garage into an office. We have a great deal of experience in finding the best mortgage that is tailored to our customer’s needs. Our team knows how to find you that 1/1000 deal!

Here at Derbymoneyman, we offer a free remortgage consultation as well as carefully considering every single remortgage situation. Get in touch today and we will see how we can help with finding the right match for your remortgage needs. 

Don’t Pretend to live Somewhere else in Derby

Mortgage Advice for First-Time Buyers

As a first time buyer in Derby applying for a mortgage, you need to be aware of your credit score. You will find that the least amount of addresses you have on your record, the better, though this seems to be something that people are more knowledgeable and aware of nowadays.

The Importance of Keeping Consistent With Your Addresses

Our experienced mortgage advisors in Derby have found they are many applicants who have moved out of their parent’s address into rented accommodation, yet believe that it is a good idea to keep their previous address registered on bank statements, credit cards, and electoral roll.

People believe this is beneficial despite being a flawed strategy. Almost every time, if you have moved to a new address, there will be some record of this on your credit report. Your address could be recorded from a delivery address when you have ordered something online or car/home insurance search and many more.

Getting all your accounts (credit cards/ current accounts) and electoral roll changed over to your new address can be the best strategy when you are thinking of taking out a mortgage. At the time of updating your address on your credit file and electoral roll, it’s best to double-check the date in and date out. The consequence of making mistakes with these dates is that it may appear on your records that you are living in two places at once. 

This will show a more open and honest way of trying to apply for a mortgage which will benefit you greatly in your Mortgage application and when it comes to approaching a Mortgage Advisor in Derby.

Get in Touch For Mortgage Advice in Derby

9 Questions to Ask When Buying A House in Derby

First Time Buyer Mortgage Advice in Derby

When it comes to the homebuyer experience, first time buyers in Derby like yourself can find it stressful. It doesn’t have to be that way. Listed below are nine common questions to ask when enquiring about a property that will allow you to make the most out of your house viewing and provide you with some peace of mind.

The 9 most common questions:

1. How much interest has there been in the property/development?

Buying a property can be one of, if not the biggest financial commitment in your life.Therefore, it’s perfectly acceptable to have a good think about whether or not you want to commit to buying a property.

You only have so much time to think about it due to the interest your dream property may be getting. It’s best to find out how many people have viewed your desired property to understand how much ‘thinking’ time you may have before making a final decision. Furthermore, if the property receives a lot of interest, you need to be ready to have a final answer as soon as possible. 

2. Is there a property chain?

A property chain can notably impact some areas of your mortgage process and in particular, how quickly you would be able to move in.

If there is no onward chain, it’s likely the moving process will be swift, especially if you are not part of a chain yourself. Another factor that could speed up the process is if you don’t need to sell your property first. This is because you will not be holding up the home buying process.

Remember to use this tactic when negotiating a price.

3. What comes with the sale?

Some previous homeowners like to leave items behind as a way to save on costs, which could be a big advantage for you. A washing machine, fridge, freezer are just a few they might include, or typically a shed if the property has a garden. 

On the condition the appliances work, it’s a benefit to new buyers as it saves them a bit of cash until they get something new and modern, however, you will have to factor in disposing of them should you not want or need the items.

If you buy a new property, you might have the option to purchase any extras that are brand new and there for you on your moving day.

4. Are the neighbours friendly?

Finding out what your neighbours are like can be a key component to consider when deciding on a property as a good or bad neighbour can make or break your experience. Furthermore, this is especially helpful if you’re moving into an area you are not exactly familiar with.

Deciding to move to new homes can be a risk initially because you won’t know what your neighbor will be like. First impressions are not always important, but it’s always handy to get on with them as you may both be living there for a long time. 

5. How much does it cost to run?

The amount spent on running costs can depend on where the property is in Derby. For this reason, it’s best to ask the right questions as well as doing some research. Topics to look into or ask your seller could be how much the council tax is or the average spend on utilities. As well as being good information to know, it also can help you budget for each property accordingly. 

6. Which way does the house face?

Questions like this can make a significant difference in the decision process because a south-facing garden can be a requirement for some. It’s perfect for relaxing in the garden in late summer evenings as well as reading with natural light. You may find that some locations pay for a more premium price in order to have a south-facing garden because it’s where the position of the sun is throughout most of the day. 

7. After moving in, how much work will be needed?

Here is another significant impact on your budget. Information to find out that may be essential to know include:

  • Making sure the property is energy efficient.
  • Sorting any damping issues (if any).
  • Changing the furnishing.

8. Are you open to offers?

A typical of the house-buying process is negotiating on a property price. Because of this, it’s key to be as prepared as possible to make an offer on a property that you like. If you are looking to improve negotiating on a property price and being one step ahead click here.

To get an idea of how low in price the seller would want to go, it’s best to chat with the seller or estate agent. Also, ask if any other offers have been made and rejected before your bid.

9. When can we move in?

When planning what you need to do before moving in, it’s best to set out the date of moving first. From this, you can plan out other jobs such as instructing a conveyancing solicitor, packing your belongings, and arranging a removal van to transport your belongings to the new property.

Moving Home Mortgage Advice in Derby

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