It is easy to understand why you might have a few first-time buyer jitters when you consider that committing to buying a property is likely to be one of the biggest financial decisions you are likely to make.
Getting to know the local property market and the estate agents operating in your area, you can get details here about Taylor’s for example, will help you to gain some confidence in picking the right property.
Here are a few other pointers to help you overcome any potential fears by knowing the right facts which will help you to get on the property ladder with the minimum of fuss.
No need to feel overwhelmed
Buying a home might appear to be a complex process and there are certainly a number of steps that you will have to follow before you can finally pick up the keys and move in but provided you know what is happening and when it is happening, there is no need to feel overwhelmed.
It has been a difficult few years for first-time buyers since the financial crisis struck in 2008 but the number of people taking that first step on the property ladder has steadily increased in recent times, and the emergence of schemes like help-to-buy have also helped to make the dream a reality.
Getting a mortgage
Most first-time buyers, in particular, are going to need some help to bridge the gap between how much money they have saved for a deposit and the asking price of their intended purchase.
The larger the deposit you can raise the better mortgage deal you can get access to, which means a lower interest rate and slightly lower monthly payments. If you are considering help-to-buy, you should only have to find a 5% deposit, but the normal deposit required by a number of mortgage lenders is to request a 10% deposit against the purchase price, in order to qualify for most of their standard mortgage deals.
A good mortgage adviser should be able to guide you as to your eligibility and best options and it can often make the process easier and hopefully a bit less stressful if you can get someone who is able to guide you through the process and liaise with the mortgage lender on your behalf.
Stamp duty to pay
There are a number of unavoidable expenses attached to buying a home, and stamp duty is one of them if you are buying a home that is over £125,000.
Stamp duty is a tax that is calculated according to the purchase price of the property. For example, if you buy a home worth £175,000, you will have to pay £1,000 in stamp duty at the time you complete the purchase.
Other costs
It is also important to be fully prepared for all of the other costs associated with buying a home so that there are no unpleasant or last-minute surprises that create a bit of an avoidable mini-financial crisis.
You will need to be able to pay for a solicitor to help you complete the legal aspects of purchasing your home and that will often mean a bill of upwards of £500, depending on the amount you are paying for the property and how complicated the transaction is likely to be. For example, buying a leasehold flat might require more legal work than buying a newly built property.
Finding the right property
Completing the purchase of a property is a task that can be broken down into a series of components, so you can take the stress and some of the unknowns out of the equation by writing down everything you need to do and pay beforehand.
Before you get to that point and are ready to go ahead and complete the purchase of a property, you do of course need to find a suitable place that you want to call home.
This is where someone with good local knowledge of the property market can help, as they will be able to guide you towards some suitable homes to look at and try to match your aspirations. It is always worth remembering that if you are a first-time buyer, this can actually make you an attractive candidate, as you don’t have anything to sell and you will normally be ready to get the sale completed fairly quickly.
If you focus on these positives and get yourself fully informed on costs and the steps involved in buying a home, there really is nothing to get the jitters about.
Disclosure: This is a featured post from Isobel Quinn. Isobel Quinn has lived in more properties than she can remember throughout her life, growing up as an army brat and then living in various locations around the world as a young adult. But now she’s settled, with her own house; she shares her tips for moving, downsizing, and first time buying.
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