There’s a lot to consider when you’re buying your first home. Getting it right means taking the time to research, understand your finances and carefully weigh your options. Here are some of the crucial factors you need to think about.
Budget and mortgage options
First, try to get your head around the money side of things. Before you start browsing listings, get a clear picture of your finances. This means calculating how much you can comfortably afford to borrow and repay.
A mortgage advisor can help you explore different mortgage types and interest rates. But remember, what the bank is willing to lend may not be what you can realistically afford. Factor in monthly repayments, especially as rates can change over time. Also consider your deposit – the larger it is, the less interest you may need to pay each month.
Some first-time buyer schemes can help lower the deposit required. It’s also worth looking into government-backed schemes like Shared Ownership if you’re struggling to save for a larger deposit.
The importance of location
Location is massive when choosing a home. Think about what matters most to you – whether it’s proximity to work, good schools, local amenities or access to public transport. The right neighbourhood can make all the difference in how comfortable you feel at home.
Take the time to visit the locations you’re considering at different times of day to get a real sense of each one. If you rely on public transport, check how easy it is to get to work or other places you need to go.
It’s also a good idea to consider the future development plans for the area. A growing neighbourhood could mean house prices are on the up, and that may be a smart investment if you plan to sell down the line.
Differences between property types
You’ll encounter different home types, each with its pros and cons. New build houses, for example, often come with modern features and energy-efficient systems, saving you money through lower energy bills. Older properties usually offer more character, and in some cases, more space for your money.
There’s also the question of flats versus houses. Apartments may be more affordable and more suited to your needs if you don’t have a family. Houses may give you the room you need to start and grow your family if that’s a priority.
Consider what fits your lifestyle and future plans. If you’re looking for less maintenance, a modern property might suit you best. But if you don’t mind a bit of DIY, an older house could offer more value for your money.
Hidden costs and expenses
There’s much more to buying a home than just the price you pay for it, unfortunately. Make sure to budget for additional costs, such as stamp duty (if applicable), legal fees and surveys. These can add up quickly, especially if you’re buying a more expensive property.
Don’t forget about ongoing costs, too, like council tax, utilities and home insurance. If you’re buying a property that needs work, be realistic about the costs of renovations. You might find a cheaper place, but if it requires a lot of work, you could end up spending more in the long run.
Always factor in these hidden costs when deciding on your budget.
This is a collaborative post