Mortgage rates are falling and there are some eye-catching deals out there – some below 4%. But do these deals apply to everyone? And how do you know what mortgages you will be eligible for? Darren Polson explains in his latest reader Q&A
The Question
I’m looking for my first mortgage and have been researching on bank websites and have also looked at some best buy tables. I can see the lowest rates are around 4%.
Do these rates apply to everyone who is eligible for the deal, or does it depend on each individual’s circumstances?
Darren’s Answer
It is great to hear you are looking to purchase your first home…. Exciting times!
Generally speaking, headline rates on most sites will be the lowest rate available with a particular lender.
However, it is important to read the criteria required to obtain this rate. For example, rates will be dependent on your loan amount and deposit amount, as well as products only available for specific property types.
In addition to best buy tables there are comparison sites out there which offer general information on rates but do not fully capture your full circumstances and eligibility for a mortgage.
The last thing you want to do is find your dream home and realise you cannot obtain a mortgage!
The first step in your journey is to speak to a mortgage broker who will be able to guide you through the process from start to finish.
A broker who can research the full market is always beneficial to ensure you are getting the best possible deal and make sure you are applying to a lender who will accept you.
Meet our expert…
Darren Polson is head of mortgage operations at Aberdein Considine. He has been writing a regular column for What Mortgage for over three years and every week he answers YOUR mortgage questions.
If you have a question for Darren please email kate.saines@emap.com or leave a message in the comments below.
