House to home – Anna's story
Soon-to-be homeowner Anna Bailey won’t fully appreciate she’s on the ladder until she’s in her new property and has realised that “the walls need painting, and the rabbit has just chewed a hole in the new sofa!”
Life events like that will of course all be part of the experience for Anna but as she prepares to pick up the keys to her flat in Tamworth in the next couple of months, it isn’t the only ‘first’ in this tale.
At the age of 22, ten years younger than the average first-time buyer*, Anna reflects on her journey from Beehive Money Lifetime ISA (LISA) saver to securing a mortgage with the expert help of Mortgage Advice Bureau (MAB), after we got in touch to share with her that she was the very first member to do this!
Anna, who works in e-commerce, said: “I don’t think I’ve ever been first at anything, so hearing that was really quite cool! I was so pleased with how smooth the process was from saving my deposit to getting my mortgage.”
LISA customers who have saved, or are close to saving, their property deposit and are ready to discuss their mortgage options can start the process at the click of a button.
Anna adds: “I’ve been trying to save a 10% house deposit for a few years but always ended up dipping into my funds so never seriously got anywhere until I opened my LISA, which I can’t easily access and so the amount I’ve been putting in every payday has grown and grown.
“With the 25% Government bonus, I could bring my plans forward by around eight months and have the deposit I needed. Then it was honestly a case of ‘right, how do I buy a house?’ because like most first-time buyers, I had absolutely no idea.
“I did some research and, when I’d found a property I liked and thought I might be able to afford, I revisited the website as I remembered seeing that, as a LISA saver, I could access mortgage advice. And I’ve not looked back. I filled in a form online one weekend and on Monday morning, I got a call back and was referred to my mortgage adviser, John.
“All I had to do was answer any questions John had for me and provide the information required. He was really nice to deal with and talked me through products such as income protection and other bits I hadn’t thought of.
“I am a quite laid-back person but buying your first home is a big life moment with the potential to stress anyone out. However, everything has been clearly explained to me at every stage and that really eased the pressure.”
So, as Anna prepares to follow in the footsteps of her older brother and sister and fly the family nest, what would her closing words of advice be to others in her shoes?
“I would tell other potential first-time buyers to look into getting a LISA, if they haven’t got one already. Having one focused my financial thinking and made me more disciplined around saving, with the icing on the cake being the Government bonus, which accelerated my home buying plans.
“Next, when they are ready to look at mortgages and compare what’s out there, MAB were a great choice for me. Everything was laid out clearly and put my mind at ease before I even had chance to get worried about it.
“It’s been a really positive experience, and one that I would definitely recommend.”
Whether you’re a first-time buyer like Anna or want to remortgage – you can compare thousands of mortgages from over 90 lenders and get support every step of the way with Mortgage Advice Bureau. Mortgage advisers are on hand to support those visiting The Nottingham’s branches or by clicking here.
You may have to pay an early repayment charge to your existing lender if you remortgage.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1.00% but a typical fee is 0.30% of the amount borrowed. Existing Nottingham Building Society customers may benefit from lower fees so please contact your nearest building society branch to find out more.
There is no guarantee that it will be possible to arrange continuous letting of the property, nor that rental income will be sufficient to meet the cost of the mortgage.
The maximum you can save in a LISA each tax year is £4,000. The Government will pay a 25% bonus of up to £1,000 each tax year. You can withdraw money from a Lifetime ISA to buy your first home, or at age 60 for retirement spending. Other withdrawals will usually mean a 25% Government charge, so you could get back less than you put in. Full terms and conditions are available at beehivemoney.co.uk.
Nottingham Building Society is an introducer to Mortgage Advice Bureau for mortgage advice and protection. Mortgage Advice Bureau is a trading name of Brook Financial Services Limited which is an appointed representative of Mortgage Advice Bureau Limited and Mortgage Advice Bureau (Derby) Limited which are authorised and regulated by the Financial Conduct Authority (FRN 529047). Brook Financial Services Limited. Registered Office: The Old Courthouse, 60a London Road, Grantham, Lincolnshire, NG31 6HR. Registered in England Number: 07311674.
*Figure estimated by taking Statista/ONS data between 2006 and 2020 and forecasting 2021's age using a linear forecast function.
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