Tips When Buying Your First Starter Home
Trying to get yourself onto the first rung of the property ladder is a lot more difficult than you might think. The property market is booming at the moment and even during the current pandemic, prices have continued to go up. Trying to find your first starter home is going to take a great deal of effort on your part and a lot of patience as well. Even the smallest properties are selling for ridiculous prices and banks and other lending institutions are now insisting that you come up with at least 15% of the purchase price as a down payment. For many young people just starting off, this creates a great difficulty and for many, they are unable to buy and they have to continue to rent.
If you do find the right starter home, then you need to avail yourself of NB Surveys laser scanning services to make sure that what it says on the plan for the house on the ground surrounding it is correct. There are a number of different starter homes that you can choose from like a semi-detached, a property that you’re going to fix up yourself and small houses as well. Getting yourself onto the property ladder now will allow you to sell your starter home later for a profit and this will help to add to the fund for buying the home that you’re going to live in until retirement age. There are a number of things that you need to consider when buying your first starter home and we will discuss some of them here today.
- Consider your budget – Many first time buyers now, are getting preapproved mortgage so that they can know exactly what they can afford. This means that they are not wasting their time bidding on a property that they can’t afford the payments for. When you’re buying a home, you need to think of all the other things that have to be paid for by property taxes, maintenance and repair, your home owners insurance, the costs of moving into the property and many other utilities. There is a lot to consider before you commit yourself to a property that is going to overstretch your budget.
- Make comparisons – It may be that you want to live in a particular neighbourhood, but it might not be cost effective to do so. You need to consider other options and maybe look at another neighbourhood that is close by, that offers properties that are a lot more affordable. It might mean that you have to live a little further out of the city and further away from your job, but if it can save you a considerable amount of money then it is worth considering.
- What are your current needs – Try to look at a starter home as meeting your short-term requirements and make a decision based on that. It is not your intention to live in this probably for very long, so don’t get caught up in the fact that it’s a little small or it doesn’t have all of the things that you need. This is a home that you will start your family in and then later you can buy a much larger home that meets your needs at that time. To learn more about buying or building your new home, have a look here.
Consider how long it is that you want to spend in your starter home before you sell it and move on to somewhere else. Always get pre-approved so that you know exactly where you stand and take the time to choose the right neighbourhood.