Top five mortgage tips for first time buyers

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11th September 2025

Paul Demarco, an independent mortgage adviser with ESPC Mortgages provides five essential mortgage tips for those buying a home for the first time.

For many first-time buyers, the first question they are likely to ask is “how much can I borrow?”. This is often followed by “what is the best deal I can get?”. The answers to both questions are not that straightforward, unfortunately.

In today’s mortgage market, affordability is carefully scrutinised, meaning how much you’re able to borrow doesn’t just depend on your income. Instead, lenders will carefully check your credit record and your financial commitments.

As for the best deal, it depends on your finances and preferences as well as your attitude to risk and your life stage.

With some careful budgeting and the right advice prior to applying for a mortgage, you can boost your borrowing power and ensure you get the right deal for your needs.

Here are some top mortgage tips for first-time buyers:

1. Increase your deposit

While saving a bigger deposit can feel daunting, even a modest increase can make a meaningful difference. For example:

Better rates: Lenders often offer tiered interest rates depending on your loan-to-value ratio (LTV). Moving from 90% LTV to 85% LTV can reduce your monthly repayments and the total interest you’ll pay over the lifetime of the loan.
More choice of lenders: With a larger deposit, you’ll have access to a wider pool of lenders and mortgage products, giving you more flexibility.
Lower risk: A bigger deposit reduces the lender’s risk, making you less likely to be turned down.

Practical tip: Consider government schemes like Lifetime ISAs or Help to Buy (where still available) to boost your deposit savings. Even setting up an automatic monthly transfer to a dedicated savings account can help you build funds consistently.

2. Register on the electoral roll

Being on the electoral roll might seem minor, but it’s one of the simplest ways to boost your credit profile. Lenders use it to confirm your identity and stability.

Consistency matters: Ensure your details (name, address, etc.) are up to date and match what you use on applications.
Impact on credit score: Some buyers miss out on mortgage approvals not because of poor finances, but because they’re not registered.

Practical tip: If you’ve recently moved or live with parents, double-check you’re registered at your current residence. It can take a few weeks to update, so do it early in the home-buying process.

3. Overpay where you can

Overpayments are one of the most powerful ways to reduce your mortgage costs:

Save on interest: Even an extra £50 - £100 a month could shave years off your mortgage and save thousands in interest.
Flexibility: Many lenders allow up to 10% overpayments per year without penalty, but check your specific terms.
Emergency cushion: If you’re unsure about committing to regular overpayments, consider saving into an offset account or flexible savings pot. That way, your money works against your mortgage but is still accessible if needed.

Practical tip: Use online mortgage overpayment calculators to see how much difference small, regular payments can make.

4. Opt for a fixed rate

Fixed-rate mortgages are especially attractive in uncertain times:

Budget certainty: Your monthly payments won’t change during the fixed term, which makes planning easier - particularly helpful for first-time buyers adjusting to new expenses.
Protection from rate rises: If interest rates increase, you’ll be shielded during your fixed period.
Length of term: You’ll typically choose between 2-, 3-, or 5-year fixed rates. Shorter fixes may give you flexibility but can mean more fees if you remortgage often, while longer fixes offer stability but less adaptability if your circumstances change.

Practical tip: Consider your future plans. If you think you’ll move soon, a shorter fix (with lower exit fees) may be best. If you want security, a 5-year fix could be safer.

5. Boost your credit score

Your credit score is one of the biggest factors in determining whether you get approved and the rate you’re offered.

Manage existing credit wisely: Using a credit card for small, regular purchases and paying it off in full builds a positive repayment history.
Keep balances low: Aim to use less than 30% of your available credit limit.
Avoid unnecessary applications: Too many credit applications in a short period can harm your score.
Check your credit report: Services like Experian, Equifax, or ClearScore let you spot errors and fix them before applying.

Practical tip: Make sure all household bills (phone, utilities, rent) are paid on time. Even one late payment can harm your application.

ESPC Mortgages

If you’re buying your first home and looking for mortgage advice, get in touch with ESPC Mortgages. As independent mortgage advisers, ESPC Mortgages can help with all aspects of understanding your budget, applying for a mortgage and dealing with the relevant insurance requirements.

Mortgage calculator

Try out the ESPC Mortgage Calculator to get an idea of what you can afford to borrow and what your monthly repayments will be.

Find the right mortgage for your circumstance using our deals comparison tool.

The information contained in this article is provided in good faith. Whilst every care has been taken in the preparation of the information, no responsibility is accepted for any errors which, despite our precautions, it may contain.

The initial consultation with an adviser is free and without obligation. Thereafter, ESPC Mortgages charges for mortgage advice are usually £395 (£345 for first-time buyers). YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOANS SECURED AGAINST IT.

ESPC (UK) Ltd is an Appointed Representative of Lyncombe Consultants Ltd which is authorised and regulated by the Financial Conduct Authority.