The top five rules for first time home buyers
Congratulations, you have decided to take the leap and purchase your first home! We know how exciting that can be. You’re already imagining your dream home, the furniture that you’ll put in it, the colour you will paint the walls and the statement kitchen island! We know this is an extremely exciting time in your life, you’ve fallen in love with the house and you are wanting to get things rolling and move in. But take a step back and consider a few things before rushing into the purchase.
• Can you afford the monthly payments?
As a first-time buyer, you must get your finances in order. Owning and renting a house are two completely different things so don’t leave yourself financially stranded before you begin. An additional £100 to your monthly outgoings may seem like nothing when choosing your dream home but remember the additional hidden costs that could affect your budget. Committing to an extra £100 for the next five or ten years could make a real difference to your day to day lifestyle.
Remember buying a home is not only about the walls, garden or parking spot, it is a long term commitment that you want to be comfortable with so if you can’t afford the monthly payment, consider a smaller house or a different location that will offer houses within your budget.
• How long do you plan to live there?
Many homebuyers, especially those who are in a position to buy their first property think: ‘this is my first house, I will probably upgrade it and move somewhere else in two or three years’. It is worth considering if you will be happy in this home for a number of years before you go through the selling process, enlisting an agent to sell the property and spending money on solicitors, stamp duty and legal fees. The selling and buying process can be lengthy so think about buying a bigger house earlier on, if you have the financial stability to do so.
• Don’t settle for an inconvenient location
Many estate agents say that you can rebuild the house but you cannot change its location. Depending on your priorities, this is true, location is one of the most important considerations when buying your first home! Unfortunately, many first-time buyers focus so much on the look of their dream property that they compromise on where it is located. Being stuck in a different neighbourhood means that you will have to travel to see friends and this may add on time to your daily commute. It is important to be happy where you live and to enjoy the local amenities. Consider what shops, pubs and gyms are available to you in the area.
• Are you taking on too much?
Taking on a big renovation project as a first-time property can be extremely daunting and a lot of hard work! Consider the work required before committing to something that you have not had experience doing before. Alongside the labour that is required to transform the property, there is also a large financial cost and element of risk involved. If this is not your forever home, it may be financially viable to concentrate on cosmetic upgrades rather than a full-scale renovation.
• Don’t rush your decision
Last but not least, don’t rush with your decision. We can’t stress enough how important it is to think with your head instead of your heart when it comes to purchasing a property. We understand this is an exciting time, but rushing into something you are not 100% certain on could be a big and costly mistake. Take your time, consider the pros and cons and ask your friends and family for advice before putting an offer in. They may see something you overlooked which could be a deal-breaker. Remember, it’s a big purchase so if you need two or even three viewings before making a decision- do that! It is better to miss out on a house than make an impulsive decision that you’re not sure about.
