Buying a home is one of the biggest financial decisions you’ll ever make. But what many people don’t realize is that banks often keep certain details hidden from borrowers. Knowing these secrets can save you money, time, and stress during the mortgage process.
Your bank won’t tell you five mortgage secrets when you’re applying. My name is Gindy, and I’m one of the senior advisers at Create Finance. So, let’s get into the article.
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Secret Number 01 – You Do Not Need to Go to Your Bank
You do not need to go to your bank that you have your current account with to apply for a mortgage. By doing this, you are limiting your options to your bank’s products only. Your bank may be charging you a higher interest rate on their products. Also, your bank may not have any specialist home-buying schemes that they can access.
By using a mortgage broker, they will have access to a large number of lenders. This means that not only are you potentially getting a lower rate of interest, but they can also access the specialist home-buying schemes.
Many people think they must go to the bank where they already hold an account. This limits them to only that bank’s mortgage products. The reality is, your bank may:
- Offer a higher interest rate compared to other lenders.
- Not provide access to specialist home buying schemes.
- Have fewer product options than independent lenders.
By using a mortgage broker, you open the door to:
- Access to multiple lenders instead of just one bank.
- A chance at lower interest rates and better deals.
- Exclusive home buying schemes that your bank may not offer.
In short, a broker can give you more choice, flexibility, and possibly save you money in the long run.
Secret Number 02 – Why a Decline Doesn’t Mean the End
If you go to your bank for a mortgage and get declined, they may not be able to disclose the reasons why. This might make you feel that you can’t actually get a mortgage. However, by speaking to a broker, you may still have options.
Brokers have access to a wide range of lenders, while the bank can only lend based on their own lending policy, which may be very strict. So, if you do get declined, don’t give up—speak to a mortgage broker, as they may have alternative options for you.
For example, imagine you applied at your bank and they said no. That doesn’t mean it’s the end. A broker can still find another lender who may say yes, because they see things differently.
- Brokers work with many banks and lenders, not just one.
- They can check small banks, credit unions, or specialist lenders.
- Even if one rejects, another might approve with slightly different terms.
So don’t lose hope if you get a rejection. It’s often just one door closing, but another opening with the help of the right broker.
Secret Number 03 – Affordability Multipliers
Affordability is such a hot topic at this moment in time. Your bank may only be able to lend you 4.5 times your income. However, there are some lenders in the UK that will potentially lend up to six times your income multiplier. And what this means is that the dream home that you crave to buy could be possible by speaking to a mortgage broker, who can access the lender that will give you that higher income multiplier.
For example, if your annual income is £40,000, your bank might cap you at £180,000 (4.5x). But a lender with a 6x multiplier could take you up to £240,000. That extra £60,000 could be the difference between a small flat and the family home you’ve been visualising.
| Income Multiplier | Loan Amount You Could Get |
|---|---|
| 4.5x (Typical Bank) | £180,000 |
| 6x (Special Lender) | £240,000 |
So the key takeaway here is simple: don’t just rely on your bank’s limits. By using a broker, you could unlock higher affordability and bring your property goals within reach.
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Secret Number 04 – Non-Standard Construction Properties
Non-standard construction properties may get in the way of you securing a mortgage offer. Your bank may have a dim view of properties built with concrete, timber, or eco materials. However, the good news is that there are lenders who specialise in these types of properties, and you won’t be penalised on the interest rate.
| Property Type | Bank View | Specialist Lender View |
|---|---|---|
| Brick & Mortar | Preferred | Preferred |
| Concrete Panels | Often Declined | Accepted |
| Timber Frame | Risky | Accepted |
| Eco-material Build | Risky/Declined | Accepted |
Example: Imagine you find a timber-frame property that your bank rejects outright. A specialist lender might accept it on normal terms, meaning you can still get the home you’ve set your heart on.
Tip: If you’re interested in a non-standard build, always get a specialist survey done early. This shows lenders the property is structurally sound and boosts your chances of approval.
Secret Number 05 – Specialist Home Buying Schemes
Specialist home buying schemes such as Right to Buy, Shared Ownership, and Joint Borrower Sole Proprietor are very common in the marketplace today. However, your bank may not always have access to these schemes. The benefit of these specialist schemes is that they can help you get onto the property ladder much sooner.
This is why you should consider speaking to a mortgage broker, as they can guide you toward the right option. In many cases, you may not need to raise a large deposit, which makes homeownership more accessible and increases your chances of getting on the property ladder faster.
These schemes are quite simple:
- Right to Buy – lets you purchase the council house you’re already renting.
- Shared Ownership – buy a part of the property and pay rent on the rest.
- Joint Borrower – combine your income with someone else to get a bigger loan.
The best part? You don’t always need a huge deposit. But since not every bank offers these options, having a broker by your side really helps you find the right deal.
It might feel like buying a home is impossible, but with these choices, the first step becomes much easier.
Conclusion
So that’s it, my friend — five secrets your bank will never tell you when you’re applying for a mortgage. Now that you know them, you won’t feel lost or pressured when sitting across from the bank. You’ll know exactly where the tricky parts are and how to get the best deal for yourself.
Getting a mortgage may sound simple, but the real game is in the details. If you keep these points in mind, you’ll save money, avoid stress, and make smarter decisions.
And hey, if you found these tips useful, don’t forget to check out our other articles. You’ll find more easy, practical advice that makes life just a little bit smoother.
Good luck, buddy — and remember, the bank may have its secrets, but now you’ve got the upper hand.
Frequently Asked Questions
What are the 5 C’s of mortgage lending?
The 5 C’s are Character, Capacity, Capital, Collateral, and Conditions.
In simple words, banks check your trustworthiness, income, savings, the value of the property, and the overall loan terms before saying yes.
What mortgage lenders don’t want you to know?
They usually won’t tell you about hidden fees, higher rates for “convenience,” or how much power you actually have to negotiate. That’s why being aware of these tricks saves you money.
What are the 5 C’s in banking?
It’s the same as mortgage lending — Character, Capacity, Capital, Collateral, and Conditions.
Basically, it’s the checklist banks use to judge if you’re a safe bet for lending.
How to convince a bank to give you a mortgage?
Keep your credit score clean, show a steady income, reduce debts, and save for a decent down payment. Present yourself as low-risk — banks love borrowers who look stable and reliable.
How to get a higher loan amount?
Increase your down payment, clear other debts, and apply with a co-applicant if possible. The stronger your income proof and financial profile, the bigger the loan banks are willing to offer.
