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If you are looking to get onto the housing market while house prices are still relatively low, there are a number of things you must think about before picking out your dream first home.

The first thing to remember is that mortgage lenders are very fussy and will make sure to credit score you before offering you a loan. Basically, the lender assumes you are guilty of not being able to handle a large loan unless you can prove otherwise. So make sure, before you begin first-house hunting, your score is as good as it can be.

That means making sure you never go overdrawn unless you have agreed an overdraft facility. if you cannot handle your own finances a lender will suspect that you will not be able to handle a large, six-figure loan. Also, if you are renting don't miss any payments – if you cannot pay your rent why should a lender think you are able to pay a mortgage?

Once you are sure your is as good as it can be, get an ‘agreement in principle' from a lender before you start property hunting. Talk to a mortgage adviser how you can do this, but basically it will give you an idea as to how much you can borrow and in this market this is really important as lenders are requiring bigger deposits than before. So you will know exactly how much you can afford and what sort of property you can aim for.

There are numerous other things you can do to make sure you get onto the property ladder successfully – create a budget, get an independent survey of the property you choose, invest in some good savings products, get good legal advice – but the most important thing you can do is talk to a professional mortgage adviser.

Karen Barrett, chief executive of Unbiased.co.uk says:  "Over the last two years, consumers have watched on as the property market slowed down, lenders tightened their lending criteria and the amount needed for a house deposit soared.  As a result, many first-time buyers have been left worrying as to whether they'll ever have their feet firmly on the property ladder. Seeking advice from a qualified and whole of market mortgage adviser will provide you with the information and help you need."

SOURCE: Unbiased.co.uk, 08/02/10

To Keep up with news and comments on the current adverse credit market please visit the Adverse Mortgage Blog.