First Time Buyer Mortgages

Who is eligible for a First Time Buyers Mortgage?
Most mortgage lenders define a first time buyer as someone who has never owned a property before. Some lenders, however, class someone who has not been on the property ladder for at least three years as a first time buyer. There are also some mortgage lenders that will class a couple buying together as first time buyers, if one of them has not owned before even if the other has.

A First Time Buyer mortgage is usually a better deal than a lender’s other mortgages, because once you’ve signed up, you’re less likely to leave. That makes first time buyers great customers for a lender to have on their books.

What are the benefits of a First Time Buyer Mortgage?
First Time Buyer mortgages are usually structured to offer greater benefits in the first few years, where the customer is likely to need money for e.g. furniture, and also likely to be younger and therefore less well off in general. These benefits can include one or more of a lump sum back upon completion, a discounted interest rate (or stepped rate), or indeed a fee-free transaction.