Working with Newbridge as an independent mortgage adviser, I am able to shop around – without any restrictions – in order to find the best possible deal for our clients.
Working with first time buyers is a major part of my role and very rewarding, in helping people get on the property ladder.
One recent example was a couple interested in purchasing a new build property, valued at £150,000, over a 30-year term. They were hoping to put down a 10% deposit which was being gifted to them by their parents.
All mortgage applicants have varying circumstances, so each case is a brand new adventure – no two home-buyers are the same! In this case, the couple had been in new jobs for 6 months, on a combined income of £38,000. One had a car loan, with a monthly repayment of £150 and they both had credit cards with a balance of £1,000 each.
The couple wanted to keep the monthly payments to a minimum and have guaranteed payments. They had contacted a few high street lenders, but were not able to secure a mortgage, with 10% deposit, for a new build home.
The Process for this case:
- Initially, we went over Newbridge customer privacy information and client agreement, for their peace of mind. The Newbridge Team is fully compliant with the updated General Data Protection Regulations, having put them into place a month ahead of their coming into effect, earlier this year.
- The couple and I had a general discussion, which allowed me be to form a “fact find” in order to clarify exactly what they needed; this is what I generally spend the most time on during a first meeting – allowing the clients to really think about what they want and how to ensure that it fits with their lifestyle, before making any decision. On this occasion, the couple were very prepared – having already given a lot of thought to their plan.
- I gathered personal, financial, employment and property details as well as obtaining relevant documents including ID and payslips etc, which is required for an application.
- I used the sourcing system to find the best possible deal, based on their circumstances. I was able to find a lender who would cover the 90% to match their deposit amount, alongside a competitive 2-year fixed rate deal that came with cashback of £500 – which would help with legal fees. I had recommended the fixed rate as this would keep payments to a minimum for the next two years and also meant the monthly payments were guaranteed for the same term. We discussed this recommendation at length and the clients were happy to proceed.
- I would then bring all this information back to the office, to discuss with our paraplanner – who prepares the mortgage in principle submission. We then double check everything before I submit this to the mortgage provider.
- Having been accepted in principle – I contacted the clients to relay the initial good news.
- We then drew up a suitability report, which laid out all the details for them to consider, including my recommendation for this mortgage product.
- The clients then signed to confirm that they were happy to proceed with the application, which I submitted along with all accompanying documents.
- A valuation was carried out on the property and the application was assessed by underwriters.
- The mortgage was approved and so the offer was issued – the clients were delighted!
- The solicitor completed mortgage.
This was a mortgage most high street lenders would not consider due to the clients’ low deposit and the property being a new build property. Instead of clients shopping around at Newbridge Financial Planning we are able to help them immediately due to our knowledge and experience We also have an extensive range of lenders and rates on our panel that clients wouldn’t have access too. The rate was very competitive and the client was very happy. Get in touch with #TeamNewbridge or visit My Newbridge Plan