Ready to get the keys to your new home? Grab a notebook and follow these simple steps. We’ll break down the numbers, show you how to pick the right estate agent, and flag the mistakes most buyers make. No fluff – just plain advice you can act on today.
First thing: know what you can actually afford. Take your annual income, subtract debts, and use the 28/36 rule – no more than 28% of gross income on mortgage payments and 36% on total debt. For example, a £45,000 salary typically supports a mortgage around £150,000, assuming a 10% deposit.
Crunch the real costs. Besides the loan, you’ll pay stamp duty, legal fees, survey costs, and moving expenses. A quick way to estimate is to add 5% of the purchase price to your budget. If the house costs £250,000, plan for an extra £12,500 in fees.
Don’t forget the deposit. A 20% down payment reduces monthly payments and may get you a better rate. If you can’t hit 20%, aim for at least 10% and explore government schemes like Help to Buy or local down‑payment grants.
Choosing an estate agent can make or break the deal. Ask for references, check recent sales, and compare fees. A good agent will provide a clear valuation, be transparent about commissions, and respond quickly to your questions.
Beware of hidden costs in shared ownership or joint ownership deals. While splitting the price might look cheap, you could inherit legal disputes or unexpected maintenance bills. Read the contract line by line and get a solicitor’s opinion before signing.
Check your credit score early. Lenders look for scores of 620 or higher for standard mortgages, but a score above 720 can shave a few percentage points off your rate. If your score is low, pay down credit cards and correct any errors on your report before applying.
Finally, keep emotions in check. It’s easy to fall in love with a property and stretch your budget. Walk away if the numbers don’t add up – there will be another home that fits both your heart and wallet.
By following these tips, you’ll move from dreaming about a house to actually owning one, with fewer surprises and a clearer path to the front door.
1 Mar
Buying a first home comes with a lot of questions, especially about down payments. While the idea of putting down 10% can feel daunting for many new buyers, the reality is more flexible. Instead of sticking to the traditional 10%, various options and programs can significantly reduce the upfront cost. Understanding these alternatives can make home ownership more accessible than you might think.
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