Buying your first home is an exciting time and it is easy to get swept up in the thought of being a home owner and all of the things you’ll be able to do with your new space. Although being a homeowner is a wonderful thing, it also comes with a big set of commitments and as such, you should make sure that you know what you’re getting into before you go ahead. Thankfully there are plenty of ways that you can get help and advice from financial professionals to ensure that whatever decisions you make for buying your first home are the right ones.
What Can You Afford?
Without a doubt one of the things you should be looking into is what you can afford. We’ve all browsed Rightmove with a wish list filled with swimming pools and cinema rooms but these aren’t realistic expectations for your first home. Before you get too carried away and set yourself up for disappointment, sit down and work out your finances to work out what you can afford to borrow. When you do come to apply for a mortgage they will ask for things like affordability and job security so these are things that you should consider before you go ahead. That way, you’re well prepared for when the mortgage application process begins
Choosing a Mortgage
There are different mortgage options out there, all of which depend on your personal circumstances, the type of property you want and even how much you afford to borrow. The best thing you can do is speak to a mortgage advisor and broker. Not only can they help you with borrowing for house but can often help you get the best mortgage rates too. The thing to remember with a mortgage is that you are committing to borrowing money over a really long period of time, so getting favourable terms at the start is definitely recommended.
Is Now The Right Time?
Although being able to afford your home is an exciting milestone, it’s important to ensure that now is the right time. For example, rather than scraping together the minimum deposit now would it be beneficial to wait a year and save up some more? This could allow you to negotiate a netter mortgage or find a better property. Moving home when you have bought a home isn’t as easy as it may be in rented accommodation and as such, you want to make sure that the home you commit to buying is the right one for you.
That isn’t to say you shouldn’t buy a home now – being a homeowner is great and something that lots of people strive to make happen. However, it’s about getting the right advice and ensuring that the decision to buy a home now is the right one for you. The first thing to do is get your finances in order – check what you can borrow and the mortgage options that are available to you.