Can I Get a Mortgage as a Student in Essex?

Student Mortgage Advice in Essex

University life: a realm of freedom, independence, and respite from parental oversight! However, as any student knows, this newfound liberty comes with its fair share of costs and fees, particularly when it comes to student accommodation.

Finding yourself in student accommodation can feel like a mixed bag. On one hand, you may luck out with a landlord who promptly tends to repairs and maintains the property. On the flip side, you might encounter a less responsive landlord who leaves you grappling with faulty appliances for weeks on end.

Sadly, many students find themselves in the latter scenario, questioning the value of their investment. If you’re pondering this dilemma, why not consider becoming your own landlord and purchase a property as a first time buyer in Essex?

Taking control of your accommodation can alleviate headaches and empower you to handle issues independently. You can achieve this by securing a student mortgage. While the upfront costs may seem daunting, the savings begin as soon as you step into your new abode!

Why should I get a student mortgage?

A student mortgage not only saves you money on accommodation but also offers an early entry point into the property market. These mortgages are particularly popular among students eyeing further academic pursuits at the master’s or PhD level.

Even if your residence in the property is temporary, you can reap future financial rewards by selling it or converting it into a buy to let in Essex, catering to fellow students. As your university journey concludes, you’ll have accrued significant equity in the property.

This equity, once unlocked, can furnish you with a lump sum of cash for various purposes, from another deposit to funding life milestones like weddings or cars. With the reins firmly in your hands, the possibilities are endless.

How can I get a student mortgage?

Securing a student mortgage can pose challenges, especially in the financial department.
As mortgage brokers in Essex, when a student seeks mortgage advice, we delve into their financial standing to gauge their eligibility.

Firstly, we ascertain if you have a deposit readily available. Whether sourced from a gifted deposit, a Lifetime ISA, or a savings account, a deposit is essential.

Secondly, we evaluate your mortgage affordability to ensure you can comfortably manage repayments. While some lenders may accept income from part-time employment, a full-time job is generally preferred.

Showing Reliability

Demonstrating reliability is paramount. Here’s how you can bolster your credibility:

• Increasing your initial deposit reduces the amount borrowed and subsequently lowers mortgage payments.
• Exploring government schemes like Shared Ownership can augment your deposit.
• Having a mortgage agreement in principle (AIP) showcases your creditworthiness to lenders.

These are just a few strategies to enhance your reliability as a student applicant. Our mortgage advisors in Essex can offer further insights tailored to your circumstances.

What type of property can I buy with a student mortgage?

Similar to other mortgage options, student mortgages entail specific requirements: The property must be within a 10-mile radius of your university. It should ideally be a 3-4-bedroom house, allowing room for rental income to support mortgage payments.

What happens if I can’t afford my payments?

Lenders exercise caution with student mortgage applicants, often requiring a guarantor to mitigate risks.
Your guarantor must be under 65 at the time of application, own a UK property, and reside therein.

Rest assured, every lender has safeguards in place to protect both parties.

For expert guidance on navigating the complexities of student mortgages and securing your dream property, reach out to our dedicated team today. We offer free affordability checks and tailored advice to set you on the path to mortgage success.

Date Last Edited: February 20, 2024