A mortgage loan is usually used by first time home owners

A mortgage loan is usually used by first time home owners to finance the purchase of their home. It is a bit intimidating when you think that you are going to make such a big debt and will spend many years paying it off.

Property is always a good investment as the value always increases with time. It will probably be your largest asset you will ever have.

Everyone has to pay for the roof over their heads whether they own the home or rent it. You might as well be paying off your own home rather than someone else's home.

Once you have made the decision to buy your own home you will have to start saving money for the down payment. Most of the banks and financial lending agencies do not give applicants a loan for the full purchase price of the home. You will have to pay the balance in the form of a cash deposit.

The lender will check your credit record and you will be required to give documented proof of your annual earnings and statements of your monthly expenses. They will also want proof of how long you have been working at your current place of employment and how long you have been living at your present address. It is a good idea to get all these documents ready before you actually apply for the loan. This will help to speed up the process and will also show the lenders that you are a responsible person.