Case Study
First-Time Buyer
Shared ownership purchase
Client Profile
Mr HR was a first-time buyer employed as a plant operator. He had no existing debt, was actively saving towards a deposit and hoped to purchase a new build home in his preferred location.
Client Objective
To understand his borrowing potential, become mortgage-ready and purchase his first home through the most suitable and affordable route available.
The Challenge
Although Mr HR had strong saving habits and no outstanding debt, he was still within his employment probationary period and had limited credit history.
He had also recently been declined for a credit card, which highlighted the need to strengthen his credit profile before applying for a mortgage.
When he later identified a shared ownership new build property, he also faced the challenge of meeting the developer's strict 28-day exchange deadline.
Our Mortgage Advice & Support
We began by carrying out a detailed affordability assessment and discussing Mr HR's goals, preferred location, budget and future plans.
We calculated his likely borrowing capacity, estimated monthly mortgage payments and helped him understand how homeownership would fit within his wider financial commitments.
After reviewing his credit report, we provided practical guidance to improve his credit profile and helped him establish a positive credit history through responsible credit use.
We maintained regular contact over several months, supporting him through the preparation stage and advising him to wait until he had successfully completed his probationary period before proceeding with a mortgage application.
When Mr HR identified a shared ownership property, we explained how the scheme worked, assessed affordability and identified a lender willing to offer a mortgage at 95% of the share being purchased.
To support the purchase process, we introduced him to a solicitor experienced in shared ownership and new build transactions.
When the property valuation was returned £20,000 below the agreed purchase price, we supported discussions with the developer and helped provide comparable evidence to negotiate a reduction in the purchase price.
The Outcome
The lender underwrote the mortgage application within 24 hours, helping keep the purchase on track.
The developer agreed to reduce the purchase price following the valuation challenge, and the mortgage offer was subsequently issued.
We continued to monitor the mortgage market throughout the transaction and secured a lower interest rate before completion, ensuring Mr HR benefited from the most competitive mortgage available at the time.
Mr HR successfully purchased his first home through the shared ownership scheme.
Key Benefits Delivered
- Clear understanding of affordability and borrowing potential.
- Personalised guidance to improve mortgage readiness.
- Credit file reviewed and improvement recommendations provided.
- Support building a positive credit history.
- Mortgage application delayed until probation was completed, strengthening lender confidence.
- Shared ownership suitability assessed and explained.
- Mortgage secured at 95% loan-to-value of the purchased share.
- Guidance provided throughout the new build purchase process.
- Introduction to a solicitor experienced in shared ownership and new build transactions.
- Mortgage application underwritten within 24 hours.
- Successful challenge to a £20,000 down valuation.
- Reduced purchase price negotiated with the developer.
- Lower interest rate secured before completion.
- End-to-end mortgage advice and ongoing support throughout the transaction.
Summary
This case highlights the value of preparation, ongoing support and tailored mortgage advice for first-time buyers. By helping Mr HR improve his mortgage readiness, navigate the shared ownership process and overcome valuation challenges, we supported him from initial planning through to successfully purchasing his first home.
Like all Inform Mortgages clients, he continues to benefit from our ongoing mortgage review service, helping ensure his mortgage remains appropriate as his circumstances and the mortgage market change.