As we all know climbing onto the property ladder can be a difficult task. It can be a very overwhelming experience because you can get lost in mountains of paperwork and sometimes you are unsure of what you are even doing. Using a guide to determine the process can really help you work out the procedure of buying a home and what to expect.
The First Step
The first step to take when you start thinking about buying a home, is to think “how much can I afford?” and “Are my finances in order?”. The best thing to do is to check your outgoings and make a plan of what you can afford, you should even include outgoings like haircuts and nights out. Using a website like Experian can tell you how your credit score fairs and it can also give you advice on how to improve it.
When applying for a mortgage you will get quizzed on your spending habits. They will take things like, your cost of your mobile phone contract or how much you pay each month for the use of the gym. If you can cut costs in anyway, make sure you do so.
Help to Buy
There are many options to consider when you are looking for a mortgage. If you aren’t looking to save for a big deposit, the Help To Buy Scheme is one of the better ways to clamber on to the property ladder. You only need at least a 5% deposit to get you started, the government will give you a loan for up to 20% of the price and the mortgage company will need to cover the remaining 75%. For example, if you were looking to buy a house for £200,000 and you have saved up for a deposit of £10,000 (5%), your equity loan will amount to £40,000 (20%) and the mortgage company would then have to lend you the remaining £150,000 (75%). The higher your deposit the better, so keep on saving!
As everything comes back to money, sometimes there are costs which you don’t always account for. Sometimes solicitors fees can really add up. Other things to take into consideration are, charges for building maintenance and charges for stamp duty. Just make you do your research so that you budget accordingly.
Finding the Right Property
When it comes down to searching for a property there are many things you need to take into consideration. You need to have an idea of what type of property you are looking for. How many bedrooms do you need? Do you need a property with a parking space? Sometimes you wont get everything you want. It is a good idea to do some research and speak to a number of estate agents in the local area. They should be able to tell you the kind of property available for your budget.
It might be wise to start with a smaller home which is at a lower price, at least then you will be on the property ladder.
Once you have finally found your perfect property, it will soon be moving in day. If you are moving from a rented property, make sure you pack up all your belongings and have left the rented property in a fit state.
It is always best to get professional advice before committing. Just make sure you have a plan and know what you can afford, and buying a property will be a breeze.
About the author:
The Right Surveyors are a national group of chartered surveyors, stretching from Penzance to Gateshead and everywhere in between. With 19 practices, each individually led by an experienced local chartered surveyor, we can provide any client, private or corporate, with the surveying service they need.
You can find out more by visiting the Right Surveyors website, or by using any of the following methods: 0800 880 6024 | [email protected] | @RightSurveyors (Twitter)