While purchasing your first home might be exciting, many people find it intimidating.
It’s easy to understand why purchasing a home is among the most significant financial decisions you’ll ever make, so doing it right is essential.
In other words, don’t wing it with your first home purchase if you are planning to!
Want to ensure you choose the best option when buying your first home?
Don’t worry; we’ve compiled some of the most valuable tips for purchasing your first apartment.
A first-time buyer is what?
Anyone purchasing a home for the first time is considered a first-time buyer.
Although it may seem obvious, there are a few crucial details to remember.
For instance, you won’t be a first-time buyer if you purchase a property with someone who has previously bought a home.
There are benefits to being a first-time buyer, including having access to Help to Buy. You also won’t have to escape a ‘property chain’ where you must arrange a sale before buying.
Top 7 tips for first-time buyers:
1. Be realistic about saving your money.
Realistically, purchasing a home is pricey.
So, if you want to move out quickly, you might need to make a few adjustments to your lifestyle to save money more quickly.
It can entail bringing a home-cooked lunch to work, biking rather than taking the bus, or perhaps returning to your parent’s house while saving for a bigger deposit.
Remember that the larger your down payment, the lower your monthly mortgage payments will be.
2. Work with a mortgage broker.
If this is the first time you’ve bought a house, you probably don’t know how to get a mortgage.
Knowledge is critical when trying to apply for a mortgage.
Get a mortgage broker to search the market for the best mortgage plan for your situation to assist you on your journey.
The additional assistance can come at a cost, but it might be worthwhile.
3. Pay off any debt
Make yourself as appealing to mortgage lenders as possible, given how competitive the home-buying market is.
Apply for a mortgage when you’re drowning in debt, and the size of the mortgage you can get will suffer.
Pay attention to paying off any unpaid credit card balances, including outstanding loan repayments for a car you may have or outstanding credit card debts.
Reduce your frequent shopping binges in the interim to prevent further debt accumulation.
You will be trusted to borrow more money when you have less debt!.
4. Maintain financial discipline (and consider added costs)
You must be confident that you can afford it before signing any contracts for your new property.
In addition to putting down a deposit (usually 5–20% of the price of the house), you need to figure out if you can pay your mortgage monthly.
Remember, the price of a home doesn’t just include the asking price; you also need to account for the cost of relocating, associated fees, and your present cost of living.
Whatever you do, don’t choose a home that is even somewhat outside your budget.
5. Make the most of your viewings.
Many different properties will need to be viewed to find the right home for you.
Take advantage of the chance to learn as much as possible at a viewing you attend. Remember to ask questions about the property and the local area and use it as an audition for the new home.
You could enquire about your home’s upkeep and what your new neighbours are like. Perhaps what’s included in the property purchase from the seller or real estate agent.
When it relates to buying a home, there are no silly questions, so ask away!
6. Utilise a government programme to receive additional assistance.
If you are saving for a deposit, Help to Buy requires a larger deposit ending in November 2022.
With the help of the government’s Shared Ownership incentive, deposits are only required on the share you purchase while paying a subsidised rent on the part you don’t own.
With one of our Shared ownership apartments, you can move into a stunning new apartment sooner than spending years saving up a sizable deposit.
Nothing makes it easier to find a home you like at a price you can afford.
7. Be persistent
It’s crucial to control expectations by considering that purchasing your first house won’t happen immediately.
Instead, be prepared for a lengthy waiting period filled with paperwork, denials, and waiting.
Don’t give up hope if finding your first house sometimes feels a little demoralising.
The more perfect your dream home will be, the more time you’ll spend looking for it.
Buying your first house can be difficult, with many things to consider.
However, our staff will ensure you are never in the dark if you purchase a house through Origin.
To get started, use our property home search here.