The prospect of getting your first home may seem like an all-time big deal. But you shouldn’t have such a mindset.
Think of buying a home like shopping around for a great jacket or pair of shoes. You’ve got an idea of what you want, so go all out to make it happen. It could be fun.
For starters, make the process of buying a home memorable by organising yourself and getting all relevant parties: real estate agent, engineers, architects, local building authority, solicitor, etc., involved.
To make the job simple, these 10 tips will give you a head start when planning to buy a property:
- Establish a budget: We all agree that acquiring a property costs money. Of course, your finances will be out to use here. So, before buying a property, know how much you will have to pay in paperwork like registry fees, stamp duty, and any other expenses. This will help you allocate your resources the right way.
- Find out the neighbourhood history of your intending home: living in a nice neighbourhood and having good neighbours is priceless. You will not want to have any dispute or argument with neighbours in the future. It will also save you any regrets that may come should you discover after buying that the area isn’t safe or it’s prone to natural disasters.
- Save up your deposit: Let’s say you don’t have sufficient money to cover the cost of buying a home. You need a loan. It may not be easy to get a 100% mortgage – those days are gone. Many credit unions will only offer to lend 80% of the purchase price. So, the remaining 20% has to come from you.
- Seek advice from a mortgage agent: This is important as the mortgage agent or intermediary will evaluate the terms and conditions of the loans on offer, compare the different interest rates, and give professional advice. If it is your first big investment, don’t do without an intermediary. Supply all the relevant documents and information your bank demands like direct debit mandates, identification, and any other so the drawdown stage won’t be delayed.
- Don’t miss out on getting a life cover: A mortgage protection policy is required of every purchaser by all mortgage providers. Ensure you have one in place.
- Ask questions! Ask many questions! A home is a very large investment, and it can be a lifetime property. This is why we advise you to read the terms of your contract carefully. Where you don’t understand, your solicitor will provide clear explanations.
- Hire a qualified and competent engineer or architect: You need these professionals because of their skill and experience. Ask them to perform a structural assessment of the building to detect possible structural issues. If you need to alter or add any structure to the already existing one, these experts will make sure it is compliant with building regulations and covered by planning permission.
Having a structural integrity test done will expose several things that may be wrong with the building and unknown to you.
- Make one final inspection before sealing the deal: Before you close the transaction with the house auctioneer, schedule one last appointment to look at the property again.
One last look at a home you plan to buy could open your eyes to something you never saw before. This could be a motivator to go ahead and make the purchase. It may also signal something that might discourage you from buying. So, ensure your inspection is convincing enough to influence your decision.
- Get organised: Make sure you have your deposit and the details of the solicitor ready. This is to prevent any delay in handing them over to the auctioneer upon getting to know the house sale has been agreed upon. As for home building, it will make sense to inform your solicitor when you are making final moves on the loan from your bank. Carrying them along will provide a cover for later on if issues should arise.
- Insure your property right after purchase: Yeah, you heard right. It’s a smart move to quickly put your newly acquired property under insurance cover. A home is a proper asset! Anything from a fire outbreak to burglary or flooding can damage your building. But with good insurance, the cost of fixing these damages will be covered.
Go ahead and have fun in your new home.
It’s such a beautiful thing to consider buying your first home. Think of all the fun you can have with family members right in the comfort of your own home.
Whatever your motive for getting a new house is, we hope you will be confident in taking that step to acquire your first property with the information provided. You can do it!