Taking your first step on to the property ladder can be both an exciting and daunting prospect. With figures suggesting a first time buyer needs at least an £8,000 deposit, moving in to your first home is definitely one of life’s big moments. Whilst no one would describe buying their first property as particularly easy or fun, preparation is key in minimising the stress of the journey.
1. Understanding your deposit
It is vital that you have a clear picture of how much money you will need to save in order to buy your first home and the earlier you start saving for a deposit the better. As a first time buyer you will typically need a deposit of at least 5% of the properties sale value and don’t forget you will need to be able to cover additional costs such as solicitors fees, mortgage fee’s and perhaps stamp duty. Be sure to work out an estimate of these additional costs and take them in to account when looking at properties. You should consider properties which cost a little less than your upper spending limit to ensure you don’t stretch yourself too far.
2. Choosing the mortgage for you.
With various mortgage options available sound financial advice is invaluable when it comes to securing your first mortgage. Be sure to seek expert advice and speak with a mortgage broker, building society or bank early on in the process as this will help you to understand the best type of mortgage on offer for you. Be sure to shop around and do your homework to ensure you end up with the best deal.
3. Maintaining your property.
Whilst there are a wealth of benefits that come with buying your own home we understand that it comes at a price. Don’t forget that as well as your mortgage payments, bills and other household outgoings you should be sure to put some money aside to cover unexpected emergencies just in case the worst should happen.