The dictionary definition of a first-time buyer is ‘a person buying a house or flat who has not previously owned a home and therefore has no property to sell’. In other words anyone getting a mortgage who isn’t a homemover, homeowner, buy-to-let investor or simply remortgaging is classed as a first-time buyer.

Do first time buyers get better mortgage rates?

The more you can save for a mortgage deposit, the more equity (or ownership) you’ll have in your first home. You’ll then be in a better position to get more competitive mortgage rates, which might mean lower monthly payments.

Who is considered a first time home buyer?

According to the website of the Department of Housing and Urban Development (which oversees the FHA), you may also be considered a first-time home buyer if you are: A single parent who has owned a home only with a former spouse while married. An individual who is a displaced homemaker and has owned a home only with a spouse.

How to find a home for the first time?

1 Find a home. Make sure to take advantage of all the available options for finding homes on the market, including using your real estate agent, searching for listings online , 2 Consider your financing options and secure financing. 3 Make an offer. 4 Close—or move on. …

Who is considered a bona fide first time buyer?

Instances where you’ll commonly be accepted as a first-time buyer Let’s get the above answer out of the way first: If you are a single person who has never owned a home before anywhere in the world, you will be regarded as a bona fide first-time buyer. Same applies to couples where both partners have never previously bought a home.

Who is not eligible for first time buyer status?

As we’ve already ascertained, anyone who has owned a home before will not be eligible for first-time buyer status…regardless of whether you actually bought the home or not. The ‘buyer’ part of the term first-time buyer can be a little misleading for those who have inherited property.