How to Enhance Your Chances of Acquiring a Good Mortgage Deal
Applying for a mortgage is never easy, even for those who have done it before. There are a lot of steps that comprise the mortgage process, and at every step, you have to know what you are doing. If it’s your first time applying for a mortgage, it becomes even more difficult. But that’s not to say you can’t do it – after all, if others have done it, so can you. The good news is that there are some things you can do in order to improve your chances of getting approved. Here’s how best to enhance your chances of acquiring a good mortgage deal.
- Get a regular job – and a stable income
One of the foremost considerations of lenders when it comes to approving a mortgage application is a stable, steady income. If you are determined to buy property, make sure that you have a regular job, which comes with a stable income. It would be even better if you have had your job for some time. For lenders, if you have been employed for about 3 to 6 months, this is a good sign. If you are planning to get another job or switch careers, it would be in your best interest to wait if you’re thinking of applying for a mortgage. If you are a self-employed individual, you can still apply for a mortgage as long as you can show proof of your income.
- Work on your credit rating and history
If you have a good credit rating and history, lenders will look at your application more favourably. It pays to know your credit rating, and you can get this information through 3 credit agencies, namely Callcredit, Equifax, and Experian. You can then go through your credit rating and see if there are any mistakes. If you spot any errors or information which isn’t updated, you should get in touch with the credit agency so that they can correct it.
If you don’t have a good credit rating due to late payments or missed loan payments, you can try to improve your rating by making sure that all your future payments are on time, as confirmed by the professional mortgage advisors at mortgage-wise.co.uk. You should also take a closer look at all your credit cards and accounts – if there are cards or accounts you no longer use, it may be best to just close them.
On the other hand, if you don’t have any credit history, it would be a good time to build one. Get a credit card or use your existing card to make credit transactions, as lenders would like to see some positive activity than no activity at all. Lenders will appreciate seeing transactions on your record which are paid on time, as this is further proof that you are responsible with your payments.
- Get registered
If you aren’t on the electoral register yet, make it a point to get registered. Many lenders will use your enrolment in the electoral register to check your address and identity. To be added to the register, all you have to do is contact the local council.