Top Tips for First Time Buyers
Since the global economic slump of 2008 many people have found obtaining a mortgage to be a gargantuan task, but none more so than first time buyers, who have needed to amass great amounts of cash to meet lenders stringent affordability tests and large deposit requirements.
In this article, we provide a number of tips, useful for first time buyers hoping to get on the ladder.
Mortgage Agreement in Principle
First time buyers often at times begin planning their perfect home too early. We advise you get a mortgage agreed in principle before planning on how you will set-up your home cinema or decide on which sofa you want to buy.
To do this, you will need to visit a mortgage broker who will give you a clear indication of how much you can in fact afford to spend on a property. It is also at this stage that many first time buyers sadly realise that they may need to save some more before they get their hearts seton that perfect sofa or home cinema.
In most cases a mortgage broker can provide you with a mortgage agreement in principle, this can then be presented to estate agents proving that you are, in fact, ready and able to purchase a property. You can also obtain mortgage advice from your local bank however, if you visit an independent mortgage broker they can often offer you deals from more than one lender and this usually means you are likely to find better rates.
Stamp Duty Relief
First time buyers received some great news in the 2017 Autumn Budget. The Chancellor of the Exchequer announced that from the 22nd November 2017, first time buyers would be eligible to receive tax relief on stamp duty land tax.
First-time buyers purchasing their first home for £300,000 or less will pay no Stamp duty land tax. Where the purchase price is over £300,000 but does not exceed £500,000 they will pay 5% on the amount above £300,000. A link to the official government announcement can be found here.
Location is Everything
Deciding on where you want to live is of course one of the most important aspects of your property search.
Where you choose to live depends not only on your budget but your personal preferences and priorities. For example, you may choose to search for a property located close to your parent’s home or maybe within walking distance to your workplace. Google Maps is a useful tool and can help you find suitable locations.
Before you begin your property search you should settle on the location in which you want to live in. Your choice is dependent on your personal priorities, for example, you may choose to live in an area close to family members or buy a property closer to your place of work.
Searching for Your New Home
Great, you should now know how much you can spend and have decided on the location in which you’d like to reside in.
The property search itself is both exciting and stressful, luckily with advances in technology and the internet you can now search for a property quite easily using your smartphone or desktop PC.
If you are searching for a property in London and in particular the Haringey or Hackney boroughs we recommend you visit Oakwood Estate Agents first, either in person or online.
Alternatively, you can search for property and contact estate agents via Rightmove and Zoopla property search engines. Both offer web and mobile apps and are the two most popular property search portals in the UK.
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About the Author
Andy Loizou Manager
Andy began his career at Oakwood in 2000 as a trainee negotiator and as a consistent top performer he was promoted to Branch Manager in 2006. Andy has a passion for property and is knowledgeable on all aspects of sales and lettings and is always available in the office to talk to customers.
