Hi Ryan - You are doing absolutely the right thing.just out of interest can anyone advise if this will help me and make it a little easier to get a mortgage, obviously depends on earnings etc but with a good deposit it must be a little easier?
A cash deposit not only reduces the amount you have to pay back but gives you access to better deals.
Lenders have some criteria for lending.
One of them is LTV (loan to value). The don't like lending 100% generally as it's risky for them as house prices can go down as well as up. The bigger deposit you have, the lower the LTV, the less risky it is for the lender.
This increases your chances of acceptance, gives you accesss to more deals and lower rates/better terms as well.
Bear in mind you will have some upfront costs like mortgage fees, stamp duty, removals, curtains etc.
You should also carrry on paying any credit accounts you have on time (mobile phone contract, store cards or credit cards).
You payment information is recorded for many years and builds up a credit history on you.
You can check your credit history for £2.
There are 3 credit reference agencies - Experian, Equifax and Call credit.
If you pay your bills on time you will have built up a good history which increases your chances of getting a mortgage.