As you probably already know, we are in a recession! And as long as we are, getting funding for pretty much anything will continue to get more and more difficult. Mortgages have declined over the last 5 years although 2015 is looking promising from an economic perspective. With more people renting (without a choice in most cases) There is less and less emphasis on buying a property. But the truth is, the earlier you can get onto the property market, the quicker you can climb it. In this article I’m going to run through a few tips I recommend to first time buyers.
Don’t Trust Images
Most people when they decide they are looking to buy, will take to the internet. Usually to a local estate agent or to places like Rightmove or Zoopla. This is great for getting an overview of the prices, situation, location and choice. But when it comes to actually making a decision on a property, even if its to put it “out of the running” on your first home quest, don’t make this decision without visiting the property in person. Images don’t show everything and sometimes a dull day with poor images can lead you away from what could have been your perfect house.
Location, location, location
You’ve probably heard this before and you sure as H will hear it again, but location is everything in the property market. Generally the closer you are to desirables (town, transport, shops ect.) The more expensive a property will be. This is because, you can always build on a house, improve the interiors or renovate, but you can’t change your physical location, and as a result you should always put location at the top of your list when looking for a property.
Buy a place that is too big for you. Allow you to grow into it. Whether this be 5 children or simply a larger space, the individuals should always allow for “More” remember if you eventually end up renting the property and extra bedroom can easily lead to an extra 300-500 pounds a month. Which in many cases can be the difference in the mortgage value too.
Don’t be too fussy
There are good opportunities and then there are dream houses. Sometimes it’s better to take a good opportunity than try to hold out for your dream house. Espically if it’s your first time on the market and you don’t have a lot to invest. Remember that a good investment today can be worth 20% more in 2-3 years time. But if you hold out for 12 months looking and waiting for your dream property, you could be missing a number of great investments.
Ask everyone you know for a small deposit. Chances are if you a first time buyer you will need a larger deposit. Sure their are government schemes such as the original first buy scheme and now the newer ones, but these are difficult to get approved for in most cases and actually take a lot of time too. Ask family and close friends for a potentially life changing deposit. Remember once your on the ladder its very easy to climb it!
Avoid Expensive Areas
If you don’t 100% NEED to live in a specific area, you should consider a wider spread. Nowadays transport is so easy that as long as you are on a good train line or near some roads (if you drive) then that dream house could only be an extra 20 mins away. So basically don’t simply live in London because you want to!
Check the area
Check the area you are living in and always meet some people, go to the local pub if you are living in a smaller town or village. If you are moving to a new city or suburb, have a look if there are facilities you need close, such as shops or gyms.