First-Time Buyer Mortgage Guide: Everything You Need to Know to Get on the Property Ladder
- Liam Drummond
- 6 days ago
- 4 min read
Buying your first home is a huge milestone—and let’s be honest, it can feel a little overwhelming. Mortgages, deposits, credit scores, legal jargon… there’s a lot to get your head around. But don’t worry—you’re not alone.
At Drummonds Finance Group, we’ve helped hundreds of first-time buyers just like you navigate the journey from renting to owning. In this guide, we’ll walk you through everything you need to know—without the confusing lingo—and give you real, practical advice to help you get mortgage-ready.
💬 So… What Is a Mortgage, Really?
Let’s keep it simple: a mortgage is a loan you take out to buy a home. You borrow the money from a bank or lender, and you pay it back monthly, usually over 25–35 years. It’s secured against your property, which means if you don’t keep up with repayments, your lender could take the home back.
First Time Buyer, How Much Can I Borrow?
The big question! Most lenders will let you borrow around 4 to 4.5 times your annual income. But this depends on your credit history, existing debts, and monthly outgoings.
First Time Buyer, How Much Deposit Do I Need?
You’ll need at least 5% of the property value as a deposit, but putting down more can get you a better interest rate. For example:
5% on a £250,000 home = £12,500
10% = £25,000
Larger deposits = smaller monthly payments. Saving as much as you can gives you more flexibility.
💡 First Time Buyer, Pro Saving Tips:
Open a Lifetime ISA – the government will boost your savings by 25% (up to £1,000 a year!)
Set up a direct debit to save automatically each month
Cut out unnecessary subscriptions or takeaways and pop the extra into your savings pot.
First Time Buyer, The Mortgage Process Step-by-Step
Here’s how it usually works:
Get a Mortgage Agreement in Principle (AIP) – This shows estate agents and sellers you’re serious and gives you a borrowing estimate.
Find your dream home – Easier said than done, we know!
Make an offer – Usually done through the estate agent.
Submit your mortgage application – You’ll need documents like payslips, bank statements, and ID.
Valuation and survey – The lender checks that the property is worth your pay.
Get your mortgage offer – The exciting part!
Exchange contracts and complete – Once contracts are exchanged, you’re legally committed. Completion day = moving day!
📢 First Time Buyer, Government Schemes to Help You Buy
Buying your first home is hard—we get it. That’s why there are a few government-backed schemes designed to give you a boost:
🧱 Help to Buy: Equity Loan
Buy a new-build with just a 5% deposit. The government lends you up to 20% (40% in London) of the property price, interest-free for 5 years.
🏠 Shared Ownership
Buy a share of a home (between 25–75%) and pay rent on the rest. Great for getting your foot in the door with a lower deposit.
🏡 First Homes Scheme
Get a discount of 30–50% on new-build homes if you’re a local first-time buyer or key worker.
Warnings to Be Aware Of
Here are a few things you’ll want to keep an eye on throughout the process:
Don’t stretch your budget too far. Just because a lender offers you £250k doesn’t mean you should borrow it all. Think long term!
Factor in all costs. Stamp Duty (if applicable), legal fees, surveys, moving costs, furnishing… it all adds up.
Watch your credit activity. Avoid new credit cards, loans, or large purchases before and during your mortgage application.
Check the fine print. Not all mortgage deals are created equal. Pay attention to early repayment charges, fees, and what happens when your fixed rate ends.
Stay realistic. Your first home might not be your forever home—that’s okay!
🔍 FAQ – First-Time Buyer Questions Answered
Can I get a mortgage with bad credit?
Yes, absolutely—but your options may be more limited. We work with specialist lenders who understand that life happens. Read our guide: Can a Mortgage Broker Help If I Have Bad Credit?
What documents will I need?
Typically:
3 months of payslips
Bank statements
ID and proof of address
Deposit source Full checklist here: What Documents Do I Need to Apply for a Mortgage?
How long does it all take?
On average, the process from offer to completion takes 8–12 weeks, but it can be quicker or slower depending on circumstances.
🧠 First Time Buyer Tips to Improve Your Chances of Approval
Register to vote – It boosts your credit score.
Keep your spending in check – Lenders will spot patterns.
Pay down debt – A lower debt-to-income ratio helps.
Avoid payday loans – These can raise red flags.
Get expert help early – A mortgage broker will spot problems before they arise.
🧭 Why Work With Drummonds Finance Group?
Let’s face it: mortgages are confusing. But that’s where we come in. At Drummonds Finance Group, we:
Do all the hard work for you
Work with high street and specialist lenders
Offer honest, jargon-free advice
They are always on your side, from the first call to moving day
📲 Contact us today for a free, no-obligation chat—we’re happy to help.
Final Thoughts 💬
Buying your first home is one of the biggest things you’ll ever do—but it doesn’t have to be the most stressful. With the right information, a good plan, and expert help in your corner, you can make smart decisions and feel in control the whole way through.
Got questions? We’re only a message away. Whether you're mortgage-ready or just starting to plan, we’re here to help you get one step closer to holding the keys to your first home.
Your home may be repossessed if you do not keep up repayments on your mortgage.
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