Now that you have saved enough and you’re able to move forward on to the process of applying for your mortgage with your reliable First-Time Buyer Mortgage Broker in Nottingham. It is important that you get prepared for the next steps to make sure you are on the right track with your mortgage. So we’ve put together some of our best preparation tips for the most vital documents that you will need and potentially speed up your mortgage application.
One of the most important documents to prioritise in the mortgage process is your Credit Report – more importantly, an up to date Credit Report. This is a financial snapshot in time of how you are managing your credit accounts, along with your address history and electoral roll information. It would also flag up any CCJs or defaults on any of your financial accounts.
This information that the credit report provides can prove invaluable to your Mortgage Advisor in Nottingham with helping to place your mortgage with a suitable lender and the most fitting criteria to your situation.
Photo ID is the best way for a Mortgage Broker in Nottingham to know that you are who you say you are – the best documents for this would be either a Driving Licence or Passport.
If you’re using ID such as a driving license, you will also have to provide a different form of ID where one of which will suffice for a proof of address, whilst the other will contribute towards the proof of ID. If you require a Visa as a right to work or reside then this will also be needed to be provided and will be used as proof.
Alongside a Proof of ID, a Proof of Address will also be needed. There are a lot more varied forms of documents and paperwork which are accepted such as a utility bill or a bank statement provided within the last 3 months.
Your income and expenditures will be overviewed when your last 3 months bank statements are put forward. Therefore, it will be helpful to think ahead of take a moment to look at where your money is going. Lenders may or may not ask for your bank statements but the ones who do will be looking to make sure you take your finances seriously.
The savings that you have acquired may be all present for your deposit but evidence from where it came from will still be needed for the anti-money laundering purposes and will provide extra security to your lenders knowing everything is in place and from a legitimate source.
To help prepare for this, it is best to keep your finances in one place such as in one current account and not move the money around too much i.e. to other accounts, as this will help the audit trail finish faster.
Proof of income will help you prove to your lenders that you have affordability that you are able to upkeep throughout your mortgage. Most Lenders will accept three months payslips if you’re in employment and some may also ask for your most recent P60 as extra evidence. Lenders will also be taking into account such things as overtime, commission, bonuses and other earnings that may come alongside or be included in your wage.
If you are an applicant who is Self Employed in Nottingham, then your accountant can help and gather up two or three years proof of earnings. We are happy to assist you if you submit your own accounts and will inform you on what you will need to obtain from the Government Gateway.
To help you get organised the easiest step that you’re able to do without any help is to put into place a Budget Planner where you can overview your finances and see which ones need to be fine-tuned.
It is best to include all variable aspects such as food and drink as well as regular bills, such as council tax and utility bills, to help you keep track of disposable income. Our Mortgage Broker in Nottingham will be more than happy to send over a template budget planner if you are having trouble getting started with this.
So, taking time out to get prepared is key and using the Mortgage Advice in Nottingham available to you will help get your mortgage on track. The quicker you’re able to gather the essential documents then the closer you will be to a successful mortgage.