Millennial Mortgages Top Tips with @Thisgirltalksmoney

Buying a new home can sometimes feel a little overwhelming, which is why we recently invited Ellie Austin-Williams, owner of This Girl Talks Money, to our Kudos show homes in Leeds to host an informative talk about everything mortgages. Our only condition? No complicated and boring finance jargon. Lucky for us, Ellie is a well known author, speaker, podcast co-host and content creator within the financial sector who does just that. Say goodbye to the boring financial talks and the over complicated terms and hello to improved financial wellbeing in a simple and accessible way. 

If you couldn’t join us for our financial event, keep on reading to find out more about the topics that Ellie touched on to keep you money savvy! 

Get advice from an expert

If this is your first time buying a home, it can sometimes feel like a whole new world of numbers, percentages and complicated terminology, but don’t worry! This is where your financial advisor joins you in your buying journey so that you can put your feet up and relax whilst they do all of the hard work. 

Your financial advisor will be there to help guide you in the right direction with your finances whilst being able to find you the best mortgage rates possible with the lowest interest rates so that you can save as many pennies as possible. Your financial advisor will also be there to offer any advice or answer any questions about your mortgage and finances that you may have.

Don’t forget that when you buy a Strata home, you have access to an independent financial advisor completely free of charge. 

Do what is right for you

One of the best pieces of advice that Ellie gave at our Millennial Mortgages talk is to do what is right for you. The best time to buy a home is when YOU feel like you are ready to take the next steps to make it happen. 

We completely understand that the news can sometimes sound scary and that it is easy to get caught up in the headlines of the mortgage rates horror stories, but trust us when we say that these stories aren’t always true. 

Mortgage rates have always fluctuated and they will continue to do so in the future too (probably until the end of time!) Try not to worry about holding out on buying your dream home for the sake of waiting for the big rise or fall in mortgage rates that the newspapers mention, you could be waiting a while! 

The best way to find the best mortgage rates tailored for you is to contact your financial advisor who will be able to access exclusive mortgage rates and apply these to your situation when you feel like the time is right for you to buy. You can be picking up the keys to your shiny new home in no time! 

Figure out how much you can afford

Before you begin house hunting, it is best to work out what you can afford to buy. A general rule of thumb for working out how much mortgage lenders will typically allow you to borrow is five times your annual salary or if you are buying with someone else, five times the annual household income. For example, if you have a household income of £60,000 a year, you could borrow roughly a £300,000 mortgage. Don’t forget that this is used as a rough estimate and can fluctuate depending on your individual financial history and situation however your financial advisor can investigate your personal circumstances to provide you with the best personalised deal out there!

Once you have an idea of the kind of house prices you can afford, it is time to take a look at your deposit. You will want to have a deposit worth a minimum of 10% of your purchase price which will be paid before you receive the keys. 

Top Tip: Take a look at your bank account and see if you are receiving the best interest rates for your savings accounts. The higher the interest rates on your savings, the speedier your deposit will grow! 

Take some time to play around with our mortgage calculator to see how much you could afford to pay each month. 

Explore what extra help is out there

If you are a first time buyer, there is a whole variety of help out there to speed you along to getting on the property ladder and into your very own home! Using a Help To Buy Isa or a Lifetime Isa can help to speed your savings along by up to 25%, allowing you to have the keys in no time! 

Many new homes will also come with unique deals such as a deposit match or contribution. 

For any advice or to take the next steps to buying your new home, simply visit one of our experience centres and ask our friendly Experience Managers how they can help. The Strata team will always be more than happy to help you with any questions that you may have about buying or selling your next home.

Don’t forget to follow @thisgirltalksmoney on social media to hear all of Ellie’s latest tips and tricks on how to boost your savings and financial wellbeing.