Shopping for a Right to Buy Mortgage

The Right to Buy Act has helped millions of council tenants with poor credit history to purchase a home of their own. However, with the rising number of mortgage lenders that promise hefty discounts, how does one differentiate between the fake offers and the genuine offers?

Shopping for a right to buy mortgage doesn't need to be a harrowing experience. There are ways and means to identify if a company is out to swindle you out of your money or if they are genuinely providing helpful services.

8 Essentials You Need to Know

While shopping for a right to buy mortgage, it is imperative to get a few basics right. These can save you plenty of hassle down the years as well as save on your money.

  • Start early: One of the very first mistakes people make is to start the hunt for a right to buy mortgage very late. Usually the processing will take quite a bit of time, sometimes even up to three months. Shopping for a right to buy mortgage needs to start as soon as you get the offer in hand. If you don't start right away, you may risk losing out on the offer altogether.
  • Survey the property: It is essential that you take stock of the property you wish to buy. You may not have noticed the slight damages here and there while you lived in the house as a tenant. When you are a prospective buyer, you tend to see things in a different light. Even before shopping for a right to buy mortgage, be sure to check for any structural damages. This is important to do because eventually you will be responsible for any renovation needed. That implies that you will need to bear the brunt of all associated costs. Conducting a structural survey is imperative not just for personal satisfaction, but it is also a formality of the mortgage lending process. This is essential to gauge the level of financial security the property offers to the lender. It’s best to get a professional survey done through a qualified structural engineer, a surveyor or even an architect. Many homes have been demarcated as being defective as per the Housing Act. It may be very difficult to resell such houses. Therefore, although it may cost a couple of hundred pounds to get a structural survey done, it is well worth the effort. It is at times best to combine the structural report with the mortgage report.