Moving up on the Property Ladder
In the last few years mortgage interest rates have soared. It became almost an expectation that any new announcement from the property world would include the rise of interest rates. Considering this, many people started to worry they would end up being priced out of the property market, before being able to step one foot on the proverbial property ladder.
However, house prices have levelled out in many locations, and along with the help to buy scheme, and on hand advice from financial services, first time buyers are now back on a more even keel. Buying a new home is still one of the biggest and most highly priced purchases one can make in a lifetime. Unlike many other purchases, house buying can be a lengthy process, and can sometimes take buyers a few months to complete. As well as this, many contracts can fall through, despite offers being initially accepted. Due to the length of time finalising a deal on a new home can take, many buyers (new to the market and experienced) are tentative, and only consider homes they consider to be “perfect”, without compromise. Of course, it is highly acceptable to want a home you can be proud of, especially when taking in to account the amount of time and money invested in to such a project. However, by not compromising on any of the features you’d like in your new home, you can be left in the back seat, and end up not making an offer on any properties that may well be suitable.
Consulting with knowledgeable mortgage lenders, as well as conducting primary research on the current market can help buyers decide on the best type of property that will suit their needs and wants. Buyers often either look too far ahead in to the future when buying a new home, or not far enough; setting out an estimate of how long you would like your new home to work for you, will help you decide what properties are worth pursuing, and what ones that will fall short of your expectations after a few months or years. It can be difficult to decide how long you would like to stay in a home. However, taking in to account any life events you know to be happening, such as having children, or going travelling, will stand you in good stead when choosing the house you’d like to invest in.
First time buyers often make the mistake of only looking out for homes they like, rather than ones they can afford. Mortgage calculators are an excellent tool for all those looking to purchase a new property. A mortgage calculator will calculate all of your incomings and outgoings, and give you an estimate of any funds you will have left over. Although mortgage payments will be a major outgoing, individuals still need to leave themselves a comfortable amount of accessible capital.
Author Bio: Tyler Horton is a cat loving, serial series watcher with a passion for sharing his suggestions and tips with a wider audience.