Did you know that your Local Authority can help you find a plot of land?
The Right to Build scheme (launched in 2016) has been designed to help free up plots of land in an attempt to get people building their own homes and as a result help the national housing crisis.
Whilst it’s really exciting to start looking round houses, it’s important not to view with just your heart. When arriving at the property, you should give the outside a good look over, checking for any missing tiles, guttering that’s not where it should be, cracks in the exterior walls, large trees close to the property. What’s the general state of the street, do the homes look well cared for, is there plenty of parking, signs of work being completed (skips) can be a positive sign.
There are many reasons why you may have been declined a mortgage, these can include:
Whilst some parents may be happy with this, some may want to give their offspring a helping shove, sorry I mean hand, out of the door.
Most mortgages are portable, which means you can move them with you when you move home.
This sounds very straight-forward and is, if you are requiring the exact same amount of funds to buy your new property and you still meet the financial criteria stated by the lender (as you will be reassessed as if applying for a new mortgage).
With house prices rising significantly faster that salaries*, it’s a well-known problem, that people are struggling to get on the housing ladder. The Government recognised the issue and created two schemes to help those in these situations - The Help to Buy Shared Ownership scheme and Help to Buy Equity Loan scheme.
The most important thing to do in this circumstance is to ask for help! Don’t be an ostrich and stick you head in the sand!
Unfortunately, this problem won’t go away (unless you have a big lotto win!!). Your lender will notice if you miss a payment and will probably try and contact you immediately. If you are struggling, pick up the phone and talk to them.
The best approach with this scenario is to be honest with your mortgage lender. Most lenders will be sympathetic to your situation. Some lenders may let you take a payment holiday whilst you are sorting out your finances. Before excepting this offer though, you should check that by doing so, your credit score will not be impacted upon negatively, as this could affect your ability to secure credit in the future. When you are faced with this situation you have a couple of options open to you: