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Amthal Badr

Ask which insurances your mortgage needs

The monthly instalment is not the only regular cost that comes with a mortgage. Banks commonly require life cover for the borrower and insurance for the property, and these premiums continue for as long as the requirement applies. Because they may be arranged late in the process, buyers can overlook them when deciding what they can comfortably afford each month. When you discuss an offer with the bank, ask exactly which insurances are required, what they cost, how the cost is charged and whether you may choose your own provider. Add the figures to your monthly budget beside the instalment and service charges. Your monthly figure then reflects the full commitment rather than the instalment alone. Prepared by Masterpiece Property.

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Keep one written line to the developer

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Document where your Down Payment comes from

Banks need to understand where your Down Payment comes from, and they usually ask for documents rather than explanations. Savings are shown through account statements, proceeds from selling another property through the sale documents, and help from family often through a signed gift letter with the transfer record. A large deposit with no clear origin, made shortly before you apply, can slow the review while the bank asks questions. Make a simple list of every source that will make up your Down Payment and attach the matching proof to each line: statemen

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