Buying your first home is one of life’s biggest milestones — exciting, overwhelming, and often confusing all at once. With rising property prices and tighter lending rules, it’s never been more important for first-time buyers to understand how the mortgage process works and what steps they can take to get the best possible start.
At TSP Wealth, we help first-time buyers navigate the entire journey with confidence. Here’s what you need to know before taking your first step onto the property ladder.
1. Work out how much you can borrow
Every lender assesses affordability differently, but most will look at:
- Your income,
- Your monthly outgoings/debts
- Your credit history
- Your deposit size
- Your employment stability
A larger deposit often means better interest rates, lower monthly payments and more lenders available to you.
Tip: Before you start viewing houses, speak to an adviser for an accurate affordability assessment — not guesswork.
2. Get a Decision in Principle (DIP)
A Decision in Principle is a lender’s confirmation that they are willing, in theory, to lend you a certain amount.
Estate agents often won’t take you seriously without one.
A DIP strengthens your position — especially in competitive markets.
3. Understand the different mortgage types
You’ll usually choose between:
Fixed-rate mortgage
Your payments stay the same for a fixed period (e.g., 2, 3 or 5 years). Great for budgeting and stability.
Variable-rate mortgage
Your payments can go up or down depending on the lender’s rate or the Bank of England base rate. Useful for those comfortable with some flexibility.
Your adviser will help compare costs, risks and benefits based on your income and goals.
4. Explore schemes you might qualify for
There are government schemes that may help first-time buyers, including:
- Shared Ownership
- Lifetime ISA bonus
- First Homes scheme
These can reduce the upfront cost of buying or boost your deposit.
5. Get expert advice from a whole-of-market mortgage adviser
A good adviser will:
- Search the whole market to find you the best deal
- Advise on lenders most likely to accept your application
- Support you with paperwork and negotiations
- Work with solicitors and estate agents on your behalf
This is especially important for first-time buyers who haven’t been through the process before.
Buying your first home should feel like an achievement, not a battle. With the right guidance, clear financial planning and access to the full mortgage market, you can secure a home that fits both your lifestyle and your budget. If you’re ready to explore your options or want help getting mortgage-ready, our team at TSP Wealth is here to support you every step of the way.
