First time buyer guide


Do I Need a Mortgage Adviser?

As a first-time buyer, you're well aware of the huge financial commitment you're about to make when getting a mortgage. And that's why it's so important to get it right.
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The mortgage scenario is difficult to understand, it’s very competitive and the terms can be quite confusing. Since you’ll already have a lot on your plate, it’s really important that you understand your possibilities and make sure that what you’re signing for actually meets your specific financial and lifestyle needs.

What Is a Mortgage Adviser?

A mortgage adviser, aka mortgage broker, is a qualified specialist who compares the mortgage market and gives impartial advice in order to help you find what’s right for you and your circumstances. Because they deal with lenders daily, they know what their application processes are like. Since they are regulated by the FCA (Financial Conduct Authority), you can expect their advice to be qualified and unbiased, and yourself to have rights in the event of financial damage.

Bear in mind that most mortgage brokers charge for their services and they actually have to be upfront about what costs you might have to pay if you decide to use their assistance: they’ll have to explain if you’ll be paying them hourly or daily rates, perhaps a percentage of what you’re borrowing for the mortgage or even a flat fee.  There are some mortgage advisers that offer their services for free but take into account that they’ll receive a commission from the lender.

Should I Get a Mortgage Adviser?

When choosing a mortgage, things will be far more complicated than going for the lowest rates and the juiciest carrot. Dealing with lenders, rates, terms, insurance, solicitors and the like is complicated and exhausting. The true advantage of advice is having a pro take a look at your resources and circumstances, and recommending a product that specifically suits your needs. Don’t you think it’s worth paying for?

If you choose not to get advice and do your own research, if the mortgage ends up being unsuitable for your needs, you won’t have as many rights when making a complaint. You’d be the one and only held responsible for your decision regarding your mortgage; going to the Financial Ombudsman with a complaint of financial miss-selling in the event of the advice received turning out wrong for you would be a no-no.

Are There any Other Perks to Getting an Adviser?

Well, clearly the market doesn’t make it easy for any of us when looking for a mortgage. Having to balance looking for the house of your dreams with all the financial aspects can, and probably will, wear you down. In such a state, who wouldn’t fall into the temptation of just doing what the lender or bank tells them to? But at the end of the day, it’s your mortgage here, you’re the one that will have to pay it for a long, long time.

An adviser …

  • will make sure you can afford a specific mortgage by taking a thorough look at your financial situation (income, debt, daily expenses)
  • will take care of your paperwork so things go faster
  • won’t only look at interest rates but will help you understand all the costs and aspects of the mortgage
  • will only recommend a product that is truly going to meet your needs
  • could have exclusive deals with lenders that otherwise wouldn’t be available to you

We know you don’t want to end up with the wrong product or being brushed aside by your bank (lender) for not having clearly understood the terms and conditions of your mortgage. Getting professional advice could be a great idea in order to fully take in what’s at stake.