Before choosing a mortgage or home loan, it's a good idea to find out what a loan entails from a mortgage advisor. Below you can find out what a mortgage is, the steps to buying a home with a mortgage, and what other information you should ask for when you go to the bank.

What Can a Mortgage Advisor do For You?

A mortgage advisor can help you achieve a mortgage which is a loan to buy a property or land. It is generally for 30 years, but there are also shorter or longer terms. The specificity of the mortgage loan is that the collateral for the loan is the house or land itself. If you find yourself in a situation where you can no longer pay your installments, the lender has the right to take the land or house and sell it to recover the money.  Another feature of a buy to let first time buyer mortgage is the down payment, which can be between 15 and 35% of the purchase price.

A no-down-payment mortgage is a particular case, but this involves buying the house directly from the developer.

Find Out How Much You Can Afford to Pay Each Month to Buy to Let First Time Buyer

As defaulting on your repayments means that the bank will take over the house, it is imperative to do some calculations before you become a buy to let first time buyer. As a rule, the monthly payment should not exceed 28-33% of your monthly income. It helps you cover your current expenses and contingencies without worrying about being unable to pay the installment.  Illness, alimony payments, or other regular expenses may reduce your rate. Although it's not desirable, you should also consider the occurrence of an accident or even dismissal.

When setting the monthly rate, it is also a good idea to consider the costs associated with the new home: monthly bills, tax, insurance, and maintenance expenses should not be overlooked. To be on the safe side, you can choose a fixed-rate mortgage to avoid the costs that can arise from rising interest rates.

Where to Get a Mortgage

You can apply for a mortgage directly from a bank, or you can use a mortgage broker. It is an independent financial adviser who can help you compare several mortgages.

Before you go to the financial institution to apply for a mortgage, it's good to know the following information:

• What type of mortgage do you want;
• Which house do you want to buy, and what is the purchase price is;
• How much do you want to borrow, and for how long;
• What rate are you willing to pay each month;
• What it takes to take out a mortgage.

Steps to Buying a Flat with a Mortgage Loan

According to a mortgage advisor, being approved for a mortgage can take up to three months or even longer. Receiving the loan and then buying the home with buy to let first time buyer mortgage, usually follows the steps below.

Pre-Approving the Loan

If you've decided that you need your apartment because you're tired of paying rent equivalent to the rate, want to move out of your parent's house, or enjoy a bigger space for your family, getting a mortgage can be a good choice. In this context, knowing what budget you need for the investment is essential. According to a mortgage advisor from UK, pre-approving the loan involves the bank checking your income and approving (or rejecting) it. Among the conditions for pre-approving credit are:

• being employed indefinitely;
• you must have at least three months' seniority at your current place of work;

Be able to pay a down payment of around 15% of the purchase price - there are also cases with lower or no down payment, but to qualify, you must provide other guarantees.

Searching for Your Dream Apartment

The next step is the apartment search. Among the criteria for choosing an apartment is the neighborhood in which it is located, the number of rooms, whether it is furnished or unfurnished, its proximity to work and public transport, and whether it has a parking space. The requirements differ from person to person, but you need to think about these things because buying an apartment with buy to let a first time buyer is a long-term investment.

Recommendation Steps from a Mortgage Advisor to Take When Renting Out Your Property

Since a lot of cities are university centers and most students, especially foreign ones, prefer to rent instead of buying an apartment or staying in a host family or dormitory, the real estate market has a high potential for rental activity. And if you own an apartment no one lives in; you can easily rent it. So young people still want to rent, and you can build a small business from the properties you have. But what are the steps you should take? The rental process might seem simple, but it's not just about handing over the key to the tenant. If you want to earn income from giving up the use of an apartment in exchange for rent, as a landlord, you have to follow specific steps recommended by a mortgage advisor:

1.     Preparing the Flat (Cleaning and Repairs)

The best way to make an apartment into a possible 'home' for potential tenants is to make it look spotless. Uncover areas needing repair, and check every surface of the house as no one is attracted to the unkempt look of a property. Of course, specific spaces are a priority. First and foremost, the bathroom and kitchen should look spotless because the future tenant needs to feel comfortable in a hygienic space. Also, cupboards, storage spaces, doors, and windows must be cleaned and repaired to give the tenant a new and functional feeling. Don't forget the room's walls.

2.     Promoting the Property

After making your apartment as presentable as possible, it should be promoted on relevant real estate communication channels, where many people can view the advertisement. The most effective way to promote is visually, so consider a photo shoot to capture the property's exact benefits to the tenant.

3.     Visits from Potential Tenants

Many people have viewed your apartment, and you are already receiving requests to visit the property. At this stage, you need to use your communication and negotiation skills to make the best choice of the right tenant and negotiate the best price.

4.     Documents Needed for the Rental

According to The Public Sector Finances from United Kingdom, at this stage, you need to register the lease of the property with the Public sector finance, UK. All you need to do is to have the necessary documents ready for the realization and registration of the rental contract of the apartment to comply with the obligations towards the state, according to the legislation in force.

As for the energy certificate, it must be held by you as the owner who wishes to rent a property. This document expresses the actual energy consumption of the building to be let. The tenant can ask for a copy of this document so that this information is always available. So, if you don't have the time and resources to complete these steps, a mortgage advisor will help you let your property much more quickly and hassle-free even if you applied the buy to let first time buyer rule.