The Best Mortgage Term for First Time Buyers

Are you a first time buyer and struggling to know what mortgage term is right for you and your circumstances? We at Just4Mortgages have created this helpful guide to help you understand the reasons behind long and short mortgage terms.

Firstly we would look at your affordability and the monthly payments because the longer your mortgage term, the smaller your mortgage payments will be. It is also important to know that you may only be able to get agreed on a higher term such as 35 years for the amount you want to borrow, however you can always remortgage in the future and reduce your term of years at this point if it is suitable.

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35 Year Mortgages:

35 year term mortgages are becoming increasing popular among first time buyers. This is due to many reasons but a big one is affordability and to allow them to manage the monthly payments whilst they get use to their new home and the costs involved. One thing to remember is how old you currently are and how old you will be in 35 years ,as a 35 year mortgage may take you past your retirement age. Although this still does not rule out a longer term it just means you would need to show that you will still be able to afford that mortgage once you are retired.

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Whilst mortgages with longer terms can make repayments more affordable for you, they can also slow down the build up of equity. At Just4Mortgages our experienced advisers can go through your income and look at all the options available to you as the best term for you will vary depending on your individual financial circumstances and what the lenders can offer you.