First time house buyers should start by checking their credit reports, according to Time.com. Creditworthiness affects interest rates, so mistakes on records must be checked before applying for a mortgage. Prospective buyers should also set a budget of up to 2.5 times salary and decide whether a fixed- or adjustable-rate mortgage will suit them better. It is wise to work out how much deposit is affordable, perhaps with Government help, and then get pre-approval from a bank for a loan when starting to look at property.

Key Takeaways:

• Get your credit reports straight. The interest you’ll pay on your mortgage depends on how creditworthy your bank thinks you are.
• Figure out which type of mortgage you want.A good rule of thumb is that if you can afford a home only if you get an adjustable-rate mortgage, then you can’t afford a home.
• Set a budget. One good rule of thumb is to make sure your house doesn’t cost more than 2.5 times your salary.

“The interest you’ll pay on your mortgage depends on how creditworthy your bank thinks you are.”

http://time.com/money/4534036/first-time-home-buyer-checklist-tips-advice/