Loncor Property Solutions

Housing Costs: What You Need to Know in 2025

Whether you’re eyeing a first‑time purchase or hunting for a new rental, the numbers behind a home can feel overwhelming. That's why we break down the biggest cost drivers—mortgage payments, rent, down‑payment requirements, and the sneaky fees that pop up later. Knowing the real cost of a roof over your head helps you avoid surprise expenses and keeps your budget on track.

Buying a Home: Mortgage, Down Payments, and Credit

Most buyers start with the mortgage calculator, but the formula isn’t just “price ÷ 30 years.” Lenders look at your income, debt‑to‑income ratio, and credit score. If you earn $36,000 a year, expect a realistic price range of £120‑£150k with a 10‑20% deposit at current 6‑8% rates. A higher credit score can shave a percent or two off that rate, which adds up over the loan term.

Down payments matter, too. A 20% deposit on a £300,000 house means £60,000 up front—big for most folks. That’s why many first‑time buyers explore assistance programmes: Virginia’s grant, NC’s down‑payment help, or UK‑based shared ownership schemes. These options lower the cash you need, but they often come with income caps or ownership limits, so read the fine print.

Renting, Shared Ownership, and Hidden Fees

Renters face a different set of costs: monthly rent, council tax, utilities, and sometimes service charges for communal areas. A good rule of thumb is that rent shouldn’t exceed 30% of your net income. If you’re considering a shared house or co‑ownership, remember you’re also paying for legal fees, maintenance contributions, and possibly an owner’s draw tax each year.

Timeshares look cheap at first glance, but the annual maintenance fees can rival a modest mortgage payment. Before you sign, calculate the total yearly expense—purchase price, upkeep, and any hidden admin costs. The same diligence applies to luxury condos versus apartments; amenities drive price, but they also bring higher service charges.

Bottom line: map out every line item before you commit. Use a spreadsheet, plug in your income, existing debts, and the specific fees for the property type you’re eyeing. When the numbers line up, you’ll walk into a deal with confidence instead of second‑guessing later.

22 Jun

Disadvantages of Home Ownership: What Shared Owners Should Know

Shared Ownership

Disadvantages of Home Ownership: What Shared Owners Should Know

Thinking about buying a shared ownership home? It's not all sunshine and rainbows. This article breaks down three big disadvantages of home ownership that can surprise new buyers, especially in shared schemes. From unexpected costs to limited control over your space, get the real scoop. You'll also find practical tips for handling common challenges. If you want a clear-eyed look at what you're getting into, keep reading.

Read More
Back To Top