Biggest Myths About Taking Out A Mortgage

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If you have set yourself a goal of becoming a property owner in 2021, you will need to start assessing the mortgage market to determine your options. One of the issues, though, is that there is a lot of misinformation on the Internet today. With that in mind, below, we are going to take a look at some of the biggest myths about taking a mortgage so that you can help to determine the truths from the falsities.

You won’t be able to get a mortgage if you’re self-employed

This is one of the biggest myths about securing a mortgage. It is believed that there will be 5.5 million self-employed people in the UK by next year. While the process can be a bit more difficult, it is certainly not impossible. It makes sense to work with a company like Trufe who will be able to help you find a mortgage solution that is tailored to your circumstances. They will also help you to prepare what you need to have a chance of getting a mortgage. For example, you will typically require between two and three years of income. Bank statements for the past six months will also be needed so lenders can see how you manage your money.

You can only get a mortgage from your existing bank

A lot of people mistakenly believe that they are only going to be able to get a mortgage from their existing bank. While it may make sense to stay with your existing lender when it comes to remortgaging or your existing current account provider for new mortgages, you may get a better deal by going elsewhere. The best thing to do is give yourself plenty of time so that you can look around for the best deal. Looking for a mortgage between three and six months before you need a mortgage should give you sufficient time to search for deals and compare them against one and other so you can find the best one for you.

If you move home, you need to get a new mortgage

If you are moving into a new property, you may decide to take out a new mortgage, yet this is not always needed. In some cases, you will be able to transport your mortgage with you. You simply need to speak with your current mortgage provider to ask them about the possibility of porting your existing mortgage agreement should you move home. If the property you are going to be moving into is more expensive, you will need to top-up the loan, i.e. borrow more. An affordability check will be carried out to make certain that the higher payments are affordable to you.

So there you have it: an insight into some of the biggest mortgage myths today. We hope that this has helped you to get a better understanding of some of the misinformation that is out there about taking out a mortgage. Getting specialist help always comes recommended so you make sure you have the best chance of securing a mortgage and finding the right deal for you.

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