Affordability mortgages to help aspiring homeowners

22-Sep-2005

Aspiring homeowners are to benefit from a range of affordability mortgages now on offer, which will help them to find a more personal agreement.

For advice on first time buyer mortgages or to find out how much you can borrow and how much it will cost you, from the UK’s leading High Street Brokers, Bradford and Bingley, click here

Calculated differently for each situation, the affordability mortgage takes account of an individual's disposable income and provides a unique payment plan, depending on your levels of debt and any dependants.

This allows first time buyers who are debt free or child free to borrow a larger mortgage then they would usually be offered and therefore be able to afford their ideal first home. Developers of the mortgage believe it will help to reduce the discrepancy between earnings and house prices.

"Affordability lending is far more flexible than strict multiples…Essentially, the more disposable income you have each month and the bigger your deposit, the more you can borrow," explained Simon Tyler from Chase De Vere Mortgage Management.

Sally Lauder from Alliance and Leicester agreed that this way of calculating the maximum loan available will help aspiring homeowners to get on the property ladder and described the traditional system as "crude".

To find out what you can borrow, even if you are in an adverse credit situation click here

Buyers are advised to seek mortgage advice before agreeing to a deal and to consider other option such as graduate mortgages or shared ownership mortgages.

To get a quote for a shared ownership mortgage click here

Click here for further information on finding a deposit

If you want to post your comments on today's news in the FirstRung Forum click here

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