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Helping your kids buy their first home with a gifted deposit

Wed, 04 Jun 2025 13:30:38 GMT

Helping your kids fly the nest (and get on the first rung of the property ladder) with a gift that keeps on giving!

The rewards

For parents, there’s nothing more rewarding than watching your children spread their wings. But let’s be honest - flying the nest is a lot harder these days. Sky high rents, rising property prices, and tight lending rules have made it tough for first time buyers to get a foot on the ladder.

If you're a parent (or even a grandparent) looking for a practical way to help your adult kids buy their first home, there's a powerful — and often overlooked — option: the gifted deposit.

In this guide, we’ll explain what it is, how it works, and why so many families across the UK - especially in Plymouth and the wider Devon and Cornwall area — are turning to Save On Mortgages for expert, fee free advice that makes it all possible.

What is a gifted deposit?

A gifted deposit is exactly what it sounds like: money given to a homebuyer — usually from a parent or grandparent — to help cover all or part of the deposit on a property. It’s a gift, not a loan, meaning the person giving the money doesn’t expect to be paid back or have any ownership of the property.

Lenders love clarity, so they’ll want proof that:

• the money is a gift, not a loan

• the person giving the monetary gift has no stake or interest in the property

• the funds are from a legitimate source.

Which brings us to...

What do you need to gift a deposit?

If you're thinking about gifting a deposit, here’s what the process usually involves. The person making the gift must provide:

• a gifted deposit letter (a simple document stating the money is a gift)

• proof of ID and proof of address

• proof of funds (bank statements or savings documents showing where the money’s coming from).

The lender will want:

• confirmation that the buyer can afford the mortgage independently

• that the gift doesn’t come with strings attached.

Not sure where to start? That’s where Save On Mortgages comes in. We help families all across the UK — as well as here in Plymouth, Devon — navigate the paperwork and get everything in order.

How much can you gift?

There’s no legal limit to how much you can gift, but most lenders require at least a 5% deposit, 10% if you can as the more you can contribute, the better the mortgage deal your child will get.

Here’s a quick example:

Property Price 5% Deposit 10% Deposit

£200,000 £10,000 £20,000

£250,000 £12,500 £25,000

£300,000 £15,000 £30,000

Even a modest gift can unlock better interest rates and more lender options.

Can grandparents gift a deposit too?

Absolutely. In fact, many grandparents love the idea of “giving with warm hands” — helping their grandchildren now, rather than waiting until later. It can also be an effective way of reducing inheritance tax, as gifts up to £3,000 per tax year (2025-26) are exempt, and larger gifts can fall outside your estate if you live for seven years after giving them.

That said, we always recommend speaking to a financial adviser if inheritance tax is a concern.

Why a gifted deposit makes a real difference

For first time buyers, scraping together a deposit can take years. Many are stuck renting, watching house prices rise faster than their savings.

Here’s how a gifted deposit helps:

• speeds up the buying process — no need to save for years

• unlocks better mortgage deals — lower interest rates, smaller monthly payments

• gets them out of renting — no more throwing money away.

And for you? You get the satisfaction of seeing your kids (or grandkids) settled in their own home — and knowing you made it happen.

Don't let the red tape get in the way

Many parents hesitate because they think it’s complicated. That’s where Save On Mortgages comes in. Based in Plymouth, Devon, we’ve helped dozens of local families — and hundreds across the UK - make the gifted deposit process smooth, simple, and stress free.

✔️ We’re completely fee free

✔️ We offer whole of market mortgage advice

✔️ We’ll walk you (and your son or daughter) through every step

Ready to help?

Thinking of helping your child fly the nest with a gifted deposit? Let’s talk it through.

Whether you're gifting a small sum or the full deposit, our team at Save On Mortgages will make sure everything is handled the right way — no jargon, no stress.

Visit our Contact Page by clicking here

call us today on 01752 408040

We’re your local experts in Plymouth, Devon — and we help many more clients across the whole of the UK .

Key takeaways

a gifted deposit can make homeownership possible for your children or grandchildren
it must be a true gift , with no expectation of repayment or ownership
you’ll need a gift letter , proof of funds , and possibly tax advice
Save On Mortgages can guide you every step of the way — completely fee free friendly and expert mortgage advice.

So why wait?

Give the gift of home. It’s a decision your future homeowner offspring will thank you for — every time they close the front door behind them.

Here are a few examples of what our first time buyers say about us

Testimonials

I cannot thank Mark enough for everything, he was absolutely amazing, so reassuring, professional and nothing was too much trouble. As first time buyers it was very daunting, but Mark was fantastic and with us every step of the way. I would highly recommend Save On Mortgages and will definitely be using them in the future. Thanks to Mark at Save On Mortgages we are now proud owners of our beautiful own home.

Joan D - May 2025

We’re so grateful for the support we received from Mark Lenthall at Save on Mortgages throughout the process of buying our first home. Mark was knowledgeable, approachable, and he took the time to explain every step and answer all of our questions.

Mark was very efficient and ensured we faced no delays in our purchasing process. We couldn’t have asked for a better advisor and would highly recommend Save on Mortgages .

Sydni C - May 2025

Mark was fantastic! We were recommended Mark by a friend who had used him several times. He made the process so smooth and easy! We were buying our first house so it was great to chat to a broker who could explain everything so clearly. He dealt with every enquiry and change quickly and efficiently. And made the whole process non-stressful. I would highly recommend and always say to friends if they need a broker, he's your guy!

Gemma H - March 2025

Understanding the role of a conveyancing solicitor and what they do for you

Tue, 01 Apr 2025 10:28:37 GMT

Buying or selling a property is a major event and getting to know a little more about what a solicitor does on your behalf when you buy and/or sell your home is helpful.

Introduction

Buying or selling a property is a major event and getting to know a little more about what a solicitor does on your behalf when you buy and/or sell your home is helpful. This is the bit of the homebuying process that’s known as conveyancing. In this blog, we'll look at what a conveyancing solicitor does, why their role is essential, and how they can assist you in the process whether you’re a buyer or seller. We'll also share some valuable tips when thinking about applying for a mortgage, provide a handy checklist for the home buying process, and offer advice on choosing the right conveyancing solicitor. So, let’s get started!

What is a conveyancing solicitor?

A conveyancing solicitor is a qualified expert in property law who manages the legal aspects of buying and selling land or property. Their responsibilities include drafting and reviewing contracts, conducting property searches, and overseeing the transfer of funds to ensure the transaction is completed accurately and efficiently.

How much does a conveyancing solicitor cost?

The fees for a conveyancing solicitor can vary based on the complexity of the transaction and the solicitor's experience. Generally, costs range from £500 to £2,000. These are ball-park figures. It's important to obtain a detailed quote upfront to understand what services are included and if there are any additional charges. Until you put an offer on a property, and it’s accepted by the seller there’s really no need to pay anything upfront!

Why is conveyancing important?

Buying a property is a big financial commitment, so it’s vital to know exactly what you’re buying. Conveyancing is a crucial part of the property transaction process, ensuring all legal requirements are met and protecting both the buyer and the seller. Proper conveyancing helps avoid legal issues, financial losses, and delays in completing the property transaction.

Real life example: A stress free property purchase for a first time buyer

To illustrate the benefits of using a conveyancing solicitor, let's look at a real life example. Our son, a first time buyer, recently purchased a property with the help of Kathryn Garbett, Conveyancer at Thompson and Jackson . Our son’s experience was remarkably smooth and stress free. Kathryn talked him through the entire process, making it simple and quick. Her great customer service and conveyancing knowledge ensured that he felt fully supported and informed at every step.

From the initial consultation to the final signing of documents, Kathryn handled everything with professionalism and efficiency. She explained complex legal terms in a way that was easy to understand, answered all his questions promptly, and provided regular updates. This level of service not only made the process less daunting but also ensured that there were no surprises or delays.

You can contact Kathryn directly via email: kathryn@thompsonandjackson.co.uk or visit her profile on

Thompson and Jackson’s website: https://www.thompsonandjackson.co.uk/people/kathryn-garbett

Just let her know the team at Save On Mortgages were singing her praises!

How to instruct your conveyancing solicitor

After selecting a conveyancing solicitor, you'll need to formally ‘instruct’ them to act on your behalf. This involves signing a contract and providing them with the necessary details about the property and the transaction. Your solicitor will then begin managing the legal aspects of the sale and/or purchase.

Freehold versus leasehold

Understanding whether a property is freehold, or leasehold is essential. Freehold means you own the building and the land it stands on, while leasehold means you own the building but not the land, and you'll have a lease agreement with the landowner. Your conveyancing solicitor will explain the implications of each and ensure the terms are clear.

Conducting property searches

Property searches are a vital part of the conveyancing process, checking for any issues that could affect the property's value or your ability to use it as intended. Common searches include local authority searches, environmental searches, and water and drainage searches.

Handling documents and forms

Throughout the conveyancing process, you'll need to complete and review various documents and forms. Your solicitor will guide you through this paperwork, ensuring everything is filled out correctly and submitted on time. This includes the contract of sale, transfer deed, and mortgage documents.

Monitoring progress

Regular communication with your conveyancing solicitor is crucial to stay updated on the progress of your transaction. They will keep you informed about any developments, answer your questions, and address any concerns you may have.

The exchange of contracts

The exchange of contracts is a significant milestone in the conveyancing process, marking the point at which the buyer and seller are legally committed to the transaction. Your solicitor will ensure that all conditions are met before the exchange and will manage the transfer of the deposit.

Completion day

Completion is the final step in the conveyancing process. On the completion date, the remaining funds are transferred, and the buyer receives the keys to the property. Your solicitor will handle the transfer of ownership and ensure that all legal requirements are fulfilled.

Post completion tasks

Even after completion, your conveyancing solicitor's work isn't done. They will register the property with the Land Registry, pay any Stamp Duty Land Tax, and provide you with copies of all relevant documents. They will also be available to address any post completion issues that may arise.

Personal Recommendation

At Save On Mortgages , we highly recommend Kathryn Garbett, at Thompson and Jackson solicitors who we've used personally for our conveyancing needs. Her professionalism, expertise, and dedication have made our property transactions smooth and stress free. We trust Kathryn to provide the same excellent service to our clients. You can contact Kathryn Garbett directly by email at kathryn@thompsonandjackson.co.uk

Just let her know the friendly team at Save On Mortgages put you in touch!

Conclusion

Having the right professionals to guide you can make the process much smoother. One key professional in this journey is a conveyancing solicitor. Choosing the right conveyancing solicitor is crucial for a successful property transaction. They ensure that all legal aspects are handled correctly, protecting your interests and making the process as smooth as possible. If you're considering a property transaction, enlisting the help of a conveyancing solicitor is a wise decision that can save you time, money, and hassle.

Seven thoughts when thinking about applying for a mortgage

Register to vote : Lenders use the electoral roll data for identity checks – they’re checking you’re who you say you are and live where you say you live. If you’re not on the electoral roll you can register to vote using this link https://www.gov.uk/register-to-vote

Always pay all bills on time : It’s essential you pay ALL bills on time as missed and late payments count against you in your credit history. Simply missing just one minimum payment on a credit card may make the difference when applying for a mortgage.

Correct credit report errors ASAP : You’ve the right to have an error corrected if the information held about your credit history is wrong on your file. You can do this by contacting lender. There are organisations in the UK where you can check your credit report for FREE. Basically, you sign up for a free 30-day trial. Checkmyfile - try it free for 30 days, £14.99 after, cancel anytime . h ttps://www.checkmyfile.partners/DHJRN2Q/2CTPL/

Don’t apply for other credit just before a mortgage : Try not to apply for credit in the three to six months before applying for a mortgage. Every time you apply for a loan a search is registered on your file. The more searches you have in a short time the less likely you are to be granted credit.

Use a fee free mortgage broker : With many UK mortgage lenders offering a myriad of mortgage deals, people aren’t just spoilt for choice but frequently confused about which is the best mortgage product for their circumstances. A fee free whole of market broker, like Save On Mortgages , can do the leg work for you at absolutely no cost to you.

Mortgages for the self-employed : If you’re self-employed isn’t doesn’t mean you can’t get a mortgage. If you think you might struggle to get a mortgage because of your employment status, a fee free mortgage broker, like Save On Mortgages , can place you with a lender more likely to accept you.

Get organised with your paperwork : Len ders may want to see any or all of the following: Last three months’ payslips; Last three months’ bank statements; Latest P60 tax form; Proof of bonuses; Last three years’ tax returns or accounts; Proof of deposit (savings account statements); ID documentation such as driving licence and passport; Proof of address (utility bills / credit card statements).

Empowering self-employed business owners: Making mortgages work for you

Mon, 10 Mar 2025 15:04:19 GMT

Starting out on your own as a business owner is exhilarating, but securing a mortgage as a self-employed individual may feel a bit more daunting.

Welcome to our guide on navigating mortgages for self-employed people, where we help you gain a better understanding of the options available and empower you to make informed decisions. Whether you're a sole trader, consultant, freelancer, or small business owner, understanding the ins and outs of mortgage options tailored to your unique financial situation is key to realising your homeownership dreams.

Whether you’re a plumber, electrician, hairdresser, wedding photographer, personal trainer, life coach or business consultant being self-employed or a freelancer doesn’t mean you can’t get a mortgage. Whatever your job, provided you can prove you earn enough income and give assurances of affordability to a lender, being self-employed or choosing a freelance career doesn’t need to be an obstacle to getting a mortgage. Put simply, the mortgages available to you are the same as those for employed individuals. The only difference being how lenders assess your application and what proof they ask for.

By explaining the income verification requirements to exploring the best options for you, we've got you covered every step of the way. Join us as we look into practical strategies and offer free expert advice to help you confidently navigate the whole mortgage market and unlock the doors to your future home. Let's go on this journey together, as we provide you with the knowledge and the tools needed to turn your entrepreneurial aspirations into homeownership reality.

Understanding mortgage options for self-employed individuals

S elf-employed and freelance workers have access to various mortgage options, the same as traditional salaried employees. The key difference lies in how income is assessed. Whether you’re a salaried employee or self-employed common mortgage types include:

Fixed rate mortgages – offer predictable payments with interest rates locked in for a set period
Variable rate mortgages – interest rates fluctuate based on market conditions, sometimes leading to lower payments
Specialist lender mortgages – provided by lenders who cater to entrepreneurs and business owners and understand the nuances of self-employed income.

Here's what our clients say.

"I simply would not go anywhere else, transparent about everything from start to finish. Mark goes above and beyond to get you the best deal for you and not what brings in the best fee for him. I highly recommend."

Will B.

"Mark adds the personal touch and is always available on the phone no matter how trivial the question maybe. Brilliant company to use."

Andrew L.

Challenges faced by self-employed people in securing mortgages

Unlike salaried employees, self-employed individuals sometimes face additional hurdles when applying for a mortgage, such as:

Irregular income streams – lenders may see fluctuating income as a risk
Stringent income verification requirements – more detailed information and paperwork may be required by lenders as evidence of income to assess a mortgage application and affordability
Higher deposit expectations – some lenders may request a larger deposit to mitigate perceived risk, although typically you’ll probably need 5% to 10% of the property’s value
Limited high street lender options – many traditional banks may have stricter criteria that doesn’t always suit entrepreneurs. A fee free mortgage broker like Save On Mortgages will be able to help you find a lender that caters for self-employed individuals and secure a competitive deal. Being self-employed or a freelancer doesn’t mean you can’t get a mortgage.

Benefits of getting a mortgage as a self-employed individual

Despite the challenges, there are advantages to securing a mortgage as a self-employed individual:

Greater financial control – owning a home provides stability, unlike renting
Wealth building –investing in property helps you build equity over time
Tailored mortgage options – specialist lenders cater to self-employed and freelancing professionals with flexible terms.

Steps to prepare for applying for a mortgage

Preparation is key to securing a mortgage with favourable terms. Follow these steps:

Improve credit score – ensure your credit score is strong by paying off debts and managing credit responsibly
Organise financial records – maintain accurate and up-to-date accounts to demonstrate financial stability
Save for a larger deposit – a higher deposit can improve mortgage approval chances and help secure a more competitive rate
Reduce business expenses – while tax deductions are beneficial, high expenses can lower your taxable income, making mortgage approval harder
Consult a (FEE FREE) mortgage adviser – expert advice can help you find the right mortgage product at no additional cost to you.

Documents required for self-employed mortgage applications

Lenders typically request the following documents from self-employed applicants:

Two or more years of tax returns (SA302s)
Certified accounts or profit & loss statements
Bank statements (personal & business)
Proof of identity & proof of address
Business contracts (if applicable).

Having these ready can streamline the mortgage application process.

Finding the right lender for self-employed mortgages

Not all lenders have the same criteria for self-employed applicants. Consider:

Specialist lenders – understand the complexities of self-employed income
Mortgage brokers – can match you with lenders offering the best terms.
Fee free mortgage advisors – like Save On Mortgages, offering expert advice at no cost.

Common misconceptions about mortgages for self-employed Individuals

Some myths surrounding self-employed mortgages include:

"You need perfect credit to qualify" – while a good credit score helps, there are options for those with less-than-perfect credit
"You need three years of accounts" – Some lenders accept just one year of trading history
"High deposits are always required" – some lenders offer mortgages with deposits as low as 5-10%
"Mortgage applications are too difficult" – with expert advice, the process can be straightforward.

Conclusion

Being self-employed shouldn’t be a barrier to homeownership. With the right approach, preparation, and expert guidance, securing a mortgage can be a smooth process. At Save On Mortgages , we specialise in helping self-employed and freelance professionals navigate the mortgage market— without charging a fee . Our friendly and expert advisers are here to ensure you find the best mortgage solution tailored to your needs.

Ready to take the next step? Contact us today and let’s make your homeownership dream a reality!

Solving the mystery: Understanding if mortgage brokers charge a fee

Mon, 24 Feb 2025 10:32:27 GMT

Are mortgage brokers charging a fee? Let's find out!

Are mortgage brokers charging a fee? We often hear this question and understand it leaves many potential homebuyers feeling confused. Let's take a moment to unravel the mystery and get to the bottom of this issue for you. Let's delve into the unfamiliar world of mortgage brokers and discover whether they charge a fee for their services. As you navigate the unfamiliar landscape of home financing, understanding the role and and how mortgage brokers get paid is crucial.

In this blog, we’ll look at standard practice within the industry and shed some light on the fees associated with mortgage brokers. By gaining a greater understanding, you’ll be better equipped to make informed decisions when s eeking the right mortgage broker for your needs. So, let's get ready to solve the mystery surrounding mortgage broker fees and share with you our knowledge to help you find your way comfortably around the home buying process.

The role of mortgage brokers in the home buying process

Before we tackle the thorny question of fees, let’s take a step back. What exactly does a mortgage broker do? In simple terms, they act as the middleman between you (the borrower) and the lender. Their job is to search through countless mortgage products, compare interest rates, and find the best deal tailored to your personal circumstances. Think of them as your personal mortgage matchmaker—minus the awkward first date!

A good mortgage broker will:

Assess your financial situation and mortgage needs
Search the whole market for the most suitable deals
Guide you through the application process
Liaise with lenders on your behalf
Help you understand the fine print (because let’s face it, no one enjoys reading pages of jargon)!

Sounds great, right? But what’s the catch? Let’s find out.

Understanding mortgage broker fees

Here’s where things get interesting. Mortgage brokers need to earn a living, but how they get paid varies. A lot of mortgage brokers charge their clients a fee on top of the fee they get from the lender, while others (like us at Save On Mortgages) feel the fee they receive from the lender is sufficient. The key thing to understand is that mortgage brokers don’t work for free—but that doesn’t necessarily mean you, as the borrower, have to foot an additional bill.

Brokers typically get paid in one of three ways:

Lender commission – the lender pays the broker a commission when your mortgage is completed.
Client fees – the broker charges you directly for their services (either upfront or upon mortgage approval).
A combination of both – some brokers charge both a lender commission and a client fee.

At Save On Mortgages, we’re proudly fee free. Like all brokers, we’re paid a commission by the lender once a mortgage completes—but unlike many others, we don’t add an extra fee for our clients. So, you get expert mortgage advice without it costing you a penny.

Types of fees charged by mortgage brokers

For those who do charge fees, the costs can vary significantly. Here are the most common types:

Fixed fee – a set amount charged for their service, regardless of the mortgage size
Percentage fee – a percentage of the loan amount (e.g., 1% of a £200,000 mortgage would be £2,000)
Hourly rate – some brokers charge by the hour, though this is less common
Retainer fee – an upfront cost to secure the broker’s services.

If you’re working with a broker who charges a fee, always clarify how much and when it’s due before signing anything.

Factors influencing mortgage broker fees

Why do some brokers charge fees while others don’t? A few factors come into play:

The broker’s business model – some brokers rely solely on lender commissions, while others prefer charging clients directly for a perceived higher level of service
Mortgage complexity – if your situation is more complex (e.g., self-employed, bad credit, unusual property), some brokers might charge a fee for the extra work involved
Market conditions – In highly competitive markets, some brokers may waive fees to attract more clients .

Pros and cons of working with a fee charging mortgage broker

So, is paying a fee for a mortgage broker worth it? Here’s the breakdown:

Pros:

May have access to exclusive mortgage deals
Could offer more in-depth financial advice
Might provide more hands-on service, particularly for complex cases.

Cons:

Adds to your upfront home buying costs.
Doesn’t necessarily guarantee a better mortgage deal
Can be avoided by choosing a fee free mortgage broker (like us)!

How to negotiate or avoid mortgage broker fees

Want to avoid unnecessary fees? Here are a few tips:

Shop around – compare different brokers and their fee structures
Ask questions – make sure you understand exactly what you’re being charged for
Look for fee free brokers – like Save On Mortgages, where you won’t pay a penny
Negotiate – if a broker charges a fee, ask if they’ll lower or waive it.

Common misconceptions about mortgage broker fees

Let’s bust a few myths while we’re at it:

“All mortgage brokers charge fees” – nope! Many are fee free (like us)!
“Fee charging brokers get better deals” – not necessarily. The best brokers find great deals regardless of whether they charge fees
“Mortgage brokers work for the lender” – a good broker works for YOU, not the bank, not the building society or other lender.

In the UK the Financial Conduct Authority (FCA) regulates mortgage brokers to ensure they act in the best interests of YOU, the consumer. You can check if a mortgage broker is regulated using the FCA register which you can find here, (our reference number is 301774), learn more...

Alternatives to using a mortgage broker

Not keen on using a broker? Here are your alternatives:

Go Direct to a Lender – you can approach banks and building societies yourself, but you may miss out on deals only available through brokers
Use online mortgage comparison tools – these can give you an idea of what’s available, but they won’t offer personalised advice
Work with a fee free broker – like us! Get expert advice without the extra cost.

Conclusion and key takeaways

Understanding mortgage broker fees doesn’t have to be complicated. Here’s what you need to remember:

Mortgage brokers play a crucial role in finding the right mortgage deal
Some brokers charge fees, while others (like us at Save On Mortgages) are completely fee free
Brokers who charge fees may do so in different ways—fixed fees, percentage-based fees, or hourly rates
You can avoid mortgage broker fees by choosing a broker who only takes commission from lenders
Always read the small print and ask about fees before committing.

At Save On Mortgages, we believe in being transparent, open and—most importantly—helping you secure the best mortgage deal without paying unnecessary fees. So, if you’re looking for a knowledgeable, friendly, and fee free mortgage broker serving the whole of the UK, you know where to find us!

Now that you’ve cracked the code on mortgage broker fees, you can confidently move forward in your home buying journey. All that's left for us to do is wish you happy house hunting!

Unlocking the door to your first home - getting on the property ladder

Mon, 17 Feb 2025 18:18:31 GMT

Buying your first home is an exciting milestone, but it can also feel overwhelming. With the right information, you can navigate the process with ease. With so much to consider, from deposits and mortgages to surveys and legal fees, it’s easy to feel a little daunted. This blog will take you through what you may wish to consider as a first time buyer in the UK, ensuring you’re well-prepared for the journey ahead.

Understanding your budget

Before you start browsing for homes, it’s essential to know how much you can afford.

This means considering:

Your deposit – typically, you’ll need at least 5-10% of the property’s value, however, the more you can save, the better your mortgage rate will be
Mortgage options – lenders will assess your income, outgoings, and credit history to determine how much they’ll lend you and your “loan to value” (LTV) ratio, which compares your mortgage amount to the property’s value, will impact interest rates
Additional costs – don’t forget expenses like solicitor fees, survey costs, moving costs, and stamp duty (though first time buyers may be exempt up to a certain limit). You should also budget for furnishing your new home and unexpected repairs.

Tip: Book a free consultation with Save On Mortgages to explore your best mortgage options and find a deal that suits your budget.

Saving for a deposit

The more you save for a deposit, the better mortgage deal you’ll likely get.

Here’s how you can build your savings:

Help to Buy and Lifetime ISAs – these government-backed schemes can boost your savings, and a Lifetime ISA allows you to save up to £4,000 a year with a 25% government bonus
Reduce unnecessary expenses – cutting back on non-essentials can accelerate your savings maybe consider cooking at home, cancelling unused subscriptions, and reviewing utility bills
Set a savings goal – having a target can keep you motivated and on track. Research average house prices in your desired area to set a realistic savings target.

Tip: Consider setting up an automatic monthly amount of your income to go into a dedicated savings account three days after you're paid to build your deposit steadily.

Understanding mortgages

A mortgage is a loan secured against your property, and choosing the right one is crucial.

There are different types available, briefly:

Fixed rate mortgages – your interest rate stays the same for a set period, typically 2, 5, or 10 years and this provides stability in monthly payments
Variable rate mortgages – your interest rate fluctuates with the market so these can be riskier but sometimes offer lower initial rates
Help to Buy mortgages – designed specifically for first time buyers, these include government-backed schemes that require smaller deposits
Tracker mortgages – these move in line with the Bank of England’s base rate, meaning your payments could increase or decrease.

It’s a good idea to speak to a mortgage adviser who can help you find the best deal based on your financial situation. Advice from Save On Mortgages is free so please don’t hesitate if you have any questions.

Tip: Always check the total cost of the mortgage over its lifetime, not just the monthly repayment amount.

Finding the right property

Once you have your budget in place, it’s time to start house-hunting. Here are some key considerations:

Location – think about transport links, schools, amenities, and future development plans as a great location can add long-term value to your property or home
Property type – do you want a house, flat, new build, or an older property and remember new builds often come with warranties but may have higher purchase prices
Condition – a fixer-upper may be cheaper but could come with hidden costs so do consider the cost of renovations when comparing properties
Leasehold versus freehold – flats are often leasehold, meaning you pay ground rent and service charges. Freehold properties mean you own the land outright. Houses are normally freehold.

Tip: Visit properties at different times of the day to get a better feel for the neighbourhood.

Making an offer

When you find a property you love, you’ll need to make an offer. Here’s how:

Research similar properties to determine a fair price
Decide on your maximum offer
Submit your offer through the estate agent
Be prepared for negotiations – sellers often expect a little back and forth.

Tip: If the property has been on the market for a while, you may be able to negotiate a lower price.

The legal process

Once your offer is accepted, you’ll need a solicitor or conveyancer to handle the legal aspects of your

purchase, including:

Searches – checking for planning restrictions, flood risks, and other potential issues
Contracts – ensuring the legal paperwork is in order
Exchange of contracts – this is the point where the sale becomes legally binding.

Tip: Choose a solicitor or conveyancer who specialises in property transactions to keep the process smooth.

Getting a mortgage offer

When your offer is accepted, you’ll need to finalise your mortgage. Your lender will arrange a valuation to ensure the property is worth what you’re borrowing. Once everything is checked, you’ll receive a formal mortgage offer.

Tip: Read your mortgage offer carefully to understand all the terms before signing. After all this is probably going to be the single biggest purchase you're likely to make.

Surveys and inspections

You may wish to have a survey done on your new home to uncover any potential issues.

The main types of surveys include:

Basic valuation – conducted by your mortgage lender
Homebuyer’s report – a more detailed check covering structural issues
Full structural survey – recommended for older properties or those in need of major renovations.

Tip: A detailed survey can save you from unexpected repair costs later.

Exchanging contracts and completion

Once your solicitor is satisfied with all the checks, you’ll exchange contracts with the seller. This legally commits you to the purchase. Shortly after, completion takes place – this is when you receive the keys to your new home.

Tip: Arrange buildings insurance from the date of exchange, as you’re now responsible for the property.

Moving in

The final step is moving in! To make the transition smoother:

Book a removal company early
Update your address with banks, utility providers, and subscriptions
Familiarise yourself with your new home’s features (boiler, fuse box, water stopcock etc.).

Tip: Pack a ‘moving day essentials’ box with things like tea, snacks, phone chargers, and important documents.

Final thoughts

Buying your first home is a significant achievement, and while the process may seem complicated, taking it step by step will make it much more manageable. Seek professional advice where necessary, stay organised, and most importantly, enjoy the journey to homeownership!

If you're looking for free and friendly expert mortgage advice, Save On Mortgages is here to help.

Contact us today to understand a bit more about what you can afford and take the first steps to find the best mortgage deals tailored to your needs.

If you’re a first time buyer, we hope this guide has helped you feel more confident about the process.

Happy house-hunting!

What to do when your fixed rate mortgage is coming to an end

Thu, 13 Feb 2025 18:18:31 GMT

Your fixed rate mortgage is coming to an end—what now? If you do nothing, you could find yourself paying far more than necessary. But with the right approach, you can secure a better deal, avoid unnecessary costs, and ensure financial stability for the future.

In this blog, we’ll walk you through exactly what happens when your fixed rate expires, the key steps you need to take, and how Save On Mortgages can help you remortgage seamlessly— all with free expert advice!

What happens when your fixed rate ends?

A fixed rate mortgage locks in your interest rate for a set number of years, typically two to five years. When this period ends, you’ll no longer be on your agreed-upon fixed rate. Instead, you will automatically move onto your lender’s Standard Variable Rate (SVR) unless you take action.

Why Does This Matter?

The SVR is usually higher than your fixed rate, meaning your monthly repayments could increase significantly. Example:

Fixed rate: 2.5%
SVR after fixed rate expires: 6%
If your mortgage balance is £200,000 over 25 years:

Fixed rate monthly payment: ~£897
SVR monthly payment: ~£1,289
Extra cost per month: ~£392
Extra cost per year: ~£4,704

That’s a substantial increase! But by planning ahead, you can avoid this financial shock.

Step 1: Start early – avoid paying more

Don’t wait until your fixed rate ends before taking action. The best time to start exploring your options is three to six months before your fixed rate expires .

Why plan ahead?

More time to secure a competitive deal – acting early allows you to compare different mortgage options and lock in a better rate before your current one expires.
Avoid paying the SVR – if your fixed rate ends before you secure a new deal, you could be stuck paying higher interest until a new mortgage is finalised.
Ensure a smooth process – remortgaging involves paperwork, affordability checks, and lender approvals, which take time. Starting early helps you avoid unnecessary stress.

Step 2: Explore your options – find the best mortgage deal to suit you

When your fixed rate mortgage is coming to an end, you generally have two main options:

1. Switch to a new deal with your current lender (product transfer)

Pros:

Quick and easy—no new affordability checks
No legal fees involved
Less paperwork.

Cons:

May not offer the best interest rates
Limited to deals from your existing lender.

2. Remortgage with a new lender

Pros:

Often better interest rates than staying with your current lender
More choice—compare deals from across the market
Potential to borrow more or switch to a more flexible mortgage

Cons:

Full application process required (affordability checks, valuation, legal work)
Possible fees, such as valuation and legal costs

How Save On Mortgages helps: We compare both options to find you the best deal, factoring in not just interest rates but also fees, incentives, and your financial goals. And we do this at no cost to you!

Step 3: Calculate the costs of remortgaging

Remortgaging can come with costs, but the right deal can still save you money in the long run. Here’s what to consider:

1. Early repayment charges (ERCs)

Check if your current mortgage has an early repayment charge. If your fixed rate period has already ended, this likely won’t apply, but if you switch before the end of the term, there may be a penalty.

2. Valuation fees

Some lenders require a new property valuation, which may come with a fee. However, many lenders offer free valuations as part of their remortgage deals.

3. Arrangement fees

Some mortgage deals come with arrangement fees, typically ranging from £500 to £2,000. We help you assess whether a lower rate with a fee is worth it compared to a slightly higher rate with no fee.

4. Legal fees

If switching lenders, you may need a solicitor to handle legal work. However, many remortgage deals offer free legal services as an incentive.

Step 4: Speak to a no fee mortgage adviser – no fees, just expert advice

Navigating the mortgage market can be overwhelming, with thousands of deals to choose from and financial jargon to decode. That’s where a professional mortgage adviser comes in.

Benefits of using a mortgage adviser:

Access to exclusive rates – Some mortgage deals are only available through brokers
Time-saving – We handle all the paperwork and negotiations for you
Unbiased advice – We compare the entire market, not just one lender
No Cost to You – Save On Mortgages provides expert mortgage advice for free .

Why act now? Secure your best remortgage deal today

With the Bank of England recently lowering interest rates and further cuts expected in 2025, now is a great time to explore options for a more affordable mortgage. Acting early allows you to take advantage of any reductions in rates and lock in a competitive deal.

How Save On Mortgages can help:

We assess your financial situation and future goals
We compare thousands of mortgage deals to find the best fit for you
We guide you through the entire remortgage process, ensuring a smooth transition
We do all this for free —our advice costs you nothing!

Final thoughts – don’t overpay on your mortgage

If your fixed rate mortgage is ending soon, don’t leave things to chance. Planning ahead can save you thousands in unnecessary interest payments.

Take action today and ensure you get the best deal possible.

Get the best remortgage deal – speak to one of our friendly advisers today!

Understanding the benefits of using a no fee mortgage broker

Tue, 11 Feb 2025 18:18:31 GMT

Are you looking to buy a home or considering remortgaging?

If so, you may be wondering how to find the best mortgage deal without breaking the bank. That's where a no fee mortgage broker can come in handy. In this article, we will delve into the benefits of using a no fee mortgage broker. A no fee mortgage broker acts as a middleman between you and the lenders, helping you find the most suitable mortgage options. They provide expert guidance to help you navigate the complex world of home financing, saving you time and effort. By opting for a no fee mortgage broker, you can avoid paying any upfront fees for their services. They are typically compensated by the lenders, making it a cost-effective option for homebuyers. Not only do they help you find the right mortgage, but they also have access to a wide range of lenders and mortgage products, increasing your chances of securing the best deal on the market. If you're ready to take the next step in your home buying journey, read on to discover the many benefits of working with a no fee mortgage broker.

The benefits of using a mortgage broker

Why go it alone when a mortgage broker can make things easier? Brokers have access to a vast range of mortgage products, some of which aren’t available directly to the public. They provide expert advice tailored to your circumstances, ensuring you get the most competitive rates and terms. Plus, they save you time by streamlining the entire process, from application to approval.

Exploring the concept of a no fee mortgage broker

A no fee mortgage broker offers all the benefits of a traditional broker—without charging you a penny! Instead of billing you for their services, they are paid a commission by the lender when your mortgage is approved. This means you get professional advice and support at no cost to you, making home buying or remortgaging more affordable.

Advantages of working with a no fee mortgage broker

Choosing a no fee mortgage broker means you can access expert guidance without dipping into your savings. They provide unbiased recommendations, as they are not tied to a single lender, and they work in your best interest to secure the most competitive deal. Their industry knowledge and lender relationships can also help you navigate tricky financial situations, such as self-employment or bad credit.

How a no fee mortgage broker can save you money

Beyond the obvious benefit of not paying broker fees, a no fee mortgage broker can help you save money in other ways. They can identify lenders with lower interest rates, reduced arrangement fees, and more flexible terms. Over the lifetime of your mortgage, even a small reduction in your interest rate can lead to significant savings. Plus, they help you avoid costly mistakes by ensuring you choose a mortgage that truly fits your financial goals.

Common misconceptions about no fee mortgage brokers

Some people assume that "no fee" means lower-quality service or that brokers will push certain lenders for higher commissions. However, reputable no fee brokers operate under strict regulations and prioritise finding the best deal for you. Others worry that going direct to a bank will secure better rates, but in reality, brokers often have access to exclusive mortgage products not available on the high street.

How to find a reputable no fee mortgage broker

Not all brokers are created equal, so it’s essential to find one with a strong reputation. Look for brokers who are fully qualified and registered with the Financial Conduct Authority (FCA). Check online reviews, ask for recommendations, and speak with them directly to ensure they understand your needs. A good broker will be transparent, responsive, and willing to answer all your questions.

Questions to ask when choosing a no fee mortgage broker

Before committing to a broker, consider asking:

Are you independent or tied to specific lenders?
What range of mortgage products do you have access to?
How do you ensure you’re getting me the best deal?
Will you assist with the entire mortgage process, from application to completion?
What happens if my application is declined?

Conclusion: Making an informed decision about your mortgage

A no fee mortgage broker can be a game-changer for homebuyers and those looking to remortgage. By offering expert guidance at no cost, they simplify the process, save you money, and increase your chances of securing the best possible deal. Whether you’re a first time buyer, moving home, or refinancing, working with a no fee mortgage broker in Plymouth could be one of the smartest decisions you make on your property journey.