I am hoping to take out a mortgage eventually based on being a first time buyer.
I understand that one of the essentials is a good credit rating. I have never owned a credit card before in my life, so I have no credit history which essentially means it is not bad. I'm unsure whether this would harm me, should I leave it as it is? Or would it be more worthwhile for me to start getting credit and repaying on time.
I am a full time student at University and work part time as well, I earn around £8,000 a year on my part time work and I have saved £10,000 in my bank account. I read that the general rule is that you are usually offered a multiple of your salary - which in my case would be something like £8,000 x = £32,000 which is nothing! Would a bank take into consideration that I am studying towards a degree (Accounting) and my age (turned 19 last week)
I don't want to pay using credit either, it incurs interest which sucks and moreover is against my religion but of course,
Is it also essential for me to have been with the same employment for a particular amount of time? I recently just started a new job as I wasn't able to work full time. So does this mean that I have to stay with my job for 6 months - 1 year.
I was looking at a particular Halifax deal for first time buyer which was 2.9% interest fixed for two years and all I would need to provide is a 10% deposit which I can hopefully manage. But I'm not sure what the chances are that I would be allowed it.
Read more: Do I have a good credit rating? How to be accepted for a mortgage?
