Getting a Mortgage in the New Financial Climate

With all that is going on at present in the world ofthe game with regards to mortgages. Basically, the
finance, the never ending news feeds of companiesless you have to borrow on the value of the property,
collapsing, panic over savings, governments having tothe easier you will find it to get the mortgage you
finance and in some cases nationalise institutions, it willwant. And this also applies to the area of
come as no surprise to the average house buyer thatself-certification. Equity is the key.
mortgages are harder to obtain than they were onlyNow the second factor to getting a mortgage in these
twelve months ago.times of financial insecurity is income. Putting
The days of getting a 125% loan to value mortgageself-certification to the side the long and the short of it
are long gone, 100% ones a thing of the past andis that lenders will lend depending on income that you
indeed to obtain a 95% mortgage your credit ratingearn. Ergo, the better your income is the more of a
would need to be pristine to say the least. Sadly, this ischance you have of getting a mortgage, it's as simple
the situation that potential house buyers face at thisas that.
present time.The last factor to take into consideration when going
It´s safe to say that self certification is basicallyabout getting a mortgage is your credit file. It may
a catch 22 situation in terms of both the lender and theseem obvious to you but a lot of people fail to realise
borrower. What I mean to say is that the only waythat a missing mortgage payment or that lapsed loan
you would qualify for it would be if you didn't need itrepayment can have a seriously detrimental effect on
but that is the only way the lenders will release theobtaining a mortgage, and also the stipulations
funds.associated with that mortgage if it is obtained. With
Now it's all well and good being told what you can'tequity and income the third major factor in obtaining a
have but the thing that the public really want to knowlow rate mortgage is definitely as clean a credit file as
is what they can have and how to go about it.you can possibly manage, a factor that is too often
Hopefully this article will fulfill this.overlooked.
As with some other aspects of finance, mortgageIt is essential to bear these factors in mind when you
advice has been seen as somewhat complicated andconsider the possibility of going for a mortgage
this was understandable give the range of products onbecause a lot has changed in the financial sector over
offer to potential buyers. But with the removal ofthe last twelve months. And you never know, you
about 80% of the products available the process hasmight just be one of the ones to buck the trend in
been made a lot simpler.today's market.
The main thing to realise is that Equity is the name of