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How to Get a Bigger Mortgage

April 25, 2024 by Georgie Kenny

Unfortunately, bagging your dream home can be curtailed by a number of things. Being unable to get a big enough mortgage can be an issue that arises.

Keep reading if you want to learn some nifty tips and tricks to help you secure a bigger mortgage and get your hands on your dream house!

First things first – pay off your debts

When a lender is deciding how much to give you as a mortgage, they will take a look at the money that you already owe. The chances are, if you are in debt you will not be able to borrow as much from a lender.

If you have some savings, think about using them to pay off any debt that you have. This will definitely help in making you look more attractive to lenders and they are more likely to be willing to lend you the amount you need. Obviously, you need to ensure that you keep some of your savings aside for emergencies.

If you are in debt, a lender will take a look at your DTI (debt to income) ratio. If you have a DTI of around 35% then in general, a lender will be happy to give you a larger loan.

Close any old accounts

Lenders tend to look at how much access to credit you already have. Therefore, if you have a wealth of credit cards or a large overdraft, oftentimes they will be less likely to want to lend to you.

It makes sense to close any credit facilities that you have and don't need. Or, at least ask for the overdraft limit to be reduced.

Improve your overall credit rating

Some great ways of improving your credit rating are to be on the voting register and ensuring you pay all your bills on time.

Check out our blog on how to build your credit score to buy a home for more.

Get your accounts organised

Especially if you're self-employed, it is so important to sort out your accounts. Lenders will want to see evidence of your accounts in order to understand your income for the past two years. The more you earn, the more tax you pay, but also, the more you can borrow!

Look at different mortgage lenders

It's vital that you don't just go with the first lender to offer you a mortgage. Different lenders will have different ideas about how much they can lend, so you may be missing out on a more suitable deal if you rush any decisions.

You can get free mortgage advice here at Emoov.

Cut your spending

Lenders are pretty nosey, so they will definitely take a look at how you spend your money. They'll look into childcare costs, bills and financial lifestyle choices, for example, holidays. Therefore, if you're looking to borrow more, one of the best things you can do is to reduce your other spending where you can. It's also a good idea to make a budget plan and try, where possible, to stick to it.

Extend your loan over a longer time period

In general, a mortgage term is around 25 years. You could look into lowering your monthly payments by choosing a longer term. Lenders tend to consider up to 35 years. As this makes your payments more affordable, it helps you to borrow more. It's important to note that the longer your mortgage term, the more you will pay in overall interest.

Get other people involved

You could consider getting a . This can be a parent or another person you are close to that will guarantee your mortgage. This gives a lender reassurance and will boost your borrowing prowess. You could also opt for a with a partner, friend or relative.

Become a doctor or dentist!

While this is somewhat in jest, there are some mortgages that are tailored towards doctors and dentists, so if you are one, look into that! In general though, getting a pay rise can massively help in your quest to borrow more. Obviously, this isn't always easy or possible, but it is something to look into if your situation allows it.

Now you know how to secure a larger mortgage, it's time to start hunting for that perfect home. Check out our selection and get browsing!