FINANCE
Getting ready to buy your shared ownership home Buying a property is one of the biggest decisions you will make in your life, so it is vitally important that you do your homework properly before making this huge commitment. It will not only save you time, but in the long run, may also save you lots of money
The first step is to do a quick calculation using the Censeo App. This will tell you what you can afford and roughly what your outgoings every month will be. The app is available to download from both the Apple and Google Play stores. Armed with this knowledge, you will then be able to do the exciting part – looking for a shared ownership home you know you can afford, either in the pages of this magazine or the variety of websites listing homes for sale. Once you’ve found your dream home, we recommend that you do a more detailed affordability assessment. Just go online and visit our simple-to-use online portal (portal. censeo-financial.com). This will tell you if you are eligible to buy a shared ownership property or not. Next, it makes practical sense to get your finances in order. If you want to be approved for a mortgage, lenders will need lots of information from you. So, it is a good idea to set aside some time to look at all your monthly outgoings – including a realistic amount per month that you can live comfortably on. If you can, try
putting together a simple spreadsheet which includes all your bills, spending, debt repayments, income sources and of course your spending on leisure activities! At the same time, it is essential that you make sure you have sufficient funds for a deposit. Many lenders are now offering up to 95% mortgages so you only need a 5% deposit, but this could still be several thousands of pounds. Either you will need to save up for this or go to the Bank of Mum & Dad for their help. Much will then depend on two key factors – your employment status and your credit score. Having a regular income and being in full-time employment is the ideal, but many lenders now recognise that thousands of people are self-employed, so while it is harder to get a mortgage and you may not secure the best rates, it certainly isn’t impossible. Turning to your credit score, it is important that this is sufficiently high or you may have real trouble getting banks or building societies to lend to you. Therefore, make sure that you don’t miss
For over 14 years, Censeo Financial has been providing an exemplary service to both our housing association and developer clients and our customers. We were set up purely as a mortgage provider specialising in providing homes to first time buyers and since then we have become a recognisable, trusted and award-winning brand. Since 2007 we have helped over 25,000 people with affordability assessments and around 6,000 people to purchase a property through shared ownership.
any payments, you aren’t carrying too much debt (unsecured loans and credit cards) and you have built up a decent length of credit history. It’s easy to check your score, just go online and register on websites such as Experian, Equifax or ClearScore. As you get closer to getting a mortgage, it is a great idea to sort out your paperwork as mortgage brokers will need to see these in order to proceed. Six months’ payslips, six months’ bank statements, proof of residency, company accounts and copies of your passport will all be required, so make sure you have them handy. If you are seeing a broker face to face, then bring them in a folder. If you’re doing everything online then scan them and send them across. Whether you are thinking about buying your first home, you simply want to know what you can afford to buy or you’ve found a property but need sound financial advice, always go to a specialist broker like Censeo Financial. We are established, awardwinning and only do affordable. censeo-financial.com
106 First Time Buyer August/September 2021
FTB 106-107 Finance-Censeo August-September21.indd 106
13/07/2021 16:37
