First Time Buyer

A first-time home buying experience is overwhelming. With all the things that you need to think about along with mortgage products, lenders, rates, etc. later on—it is a full-time task that can get taxing even for the best of you.

Top Tips For First Time Buyers

Have you budgeted correctly? Be realistic about how much you can afford to spend on a house, and ensure the intended mortgage is affordable. Don’t forget to allow for furnishings, and remember older properties may require extensive work, such as re-flooring, tiling or renewing the wiring. Make sure you budget for these likely expenses in addition to the purchase price, along with other fees such as conveyancing and stamp duty.

Take second opinions: It’s natural to miss out on key details and crucial elements when you haven’t had a home buying experience prior to this. Asking someone who has experience in home buying is a great idea, especially when you’re going to check the property out. If you can’t do this, try to take someone along for the second viewing.

Don’t forget the bills:  It’s easy to dismiss the significance of budgeting for various expenses (utility bills, council tax, boiler servicing, repairs, etc.), so be prepared for this one.

There’s always the council tax: Determine what the council tax in the new area will be—the agent who sells to you will know this.

Internet connectivity: We’re assuming you use the internet frequently. Checking how broadband speeds do in the area should also be essential, especially if you’re self-employed or run a business from home. The agent will know this, so be sure to ask them.

Car insurance:  Sometimes when you move to areas with a high crime rate, the rates for car insurance increases too. This also goes for when on-street parking substitutes off-street parking. Check for the insurance rates if you own a car.

Commute options: If you don’t have a private vehicle, always check for public transport options nearby. From buses to trains and nearby stations, this information is crucial. Even if you do have a personal means of commute, this is vital information as a resident of any area.

Check out the locality: If you have kids, checking out the schools in the area is a good idea. This will also affect the price you get when you’re selling off because buyers with children will often pay a higher price if there are good schools in the area. Other locally-placed amenities such as a cinema or shops also matter. We also suggest you take a stroll in the area, on a bike or on foot, in the locality—just to be sure this is where you want to live.

The distance: Although many people don’t think about this, going to and from your house in a new locality is mostly commute time. It’s important to note how long it will take you to reach your workplace from here and if you can afford additional expenses of commuting to and from a far-away residence. Don’t just factor in the additional expenses, but also the time it will cost you.

Avoid These Common First Time Home Buyer Mistakes

Buying a home for the first time is a landmark decision in any person’s life. Because of this, most buyers tend to make a number of mistakes that end up prolonging the process and costing them too much. Here’s what you need to avoid doing.

·         Considering one lender only.

·         Buying beyond your budget.

·         Searching for homes before a mortgage application.

·         Prioritising house over neighbourhood.

·         Spending all your savings.

·         Not being careful enough with credit.

·         Overlooking hidden costs of homeownership.

As one of the leading mortgage advisory firms in London, UK, Sterling Capital Group Ltd. is committed to providing first-time homebuyers with mortgage solutions so they avoid making mistakes that will hurt them.




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