One of the big milestones in your life is also one of the biggest hurdles. When you are working to get onto the property ladder, trying to save money seems impossible. But this is only one piece of the puzzle. When you are preparing for your first family home what do you really need to know?
Understand How Much You Can Afford
There are so many different factors at play here. You need to do it at the right time. But you also need to think about your home as an investment. Any property will appreciate in value over time but buying a home is about getting somewhere that feels like your “forever” home, even though it may not be. There’s a lot to research to do at this point. You may need to find a mortgage broker that has the best mortgage rates in your local area. And there are many companies out there that can help, Altrua being one, but when it comes to investing in your property, you need to buy somewhere that you can afford to live in right now. This means you may have to look a bit further afield and find an area that you hadn’t considered before. But you have to look at your affordability. There is no point in being house poor, where you have a lovely home but you struggle to cover your monthly expenses.
Preparing Your Finances
The mortgage process is very stressful. But you need to ensure that you have the key components ready. You need to be in good credit. Taking the opportunity to look at your credit report for errors will help you get a better understanding of how likely you are to get a mortgage. If your credit score is not desirable you can improve your score by paying off credit card balances and reducing your outgoings by making lifestyle choices. Fixing your credit score can take at least six months, which means you have to get started right away. Once you’ve done this it’s time to save cash for a down payment. As a down payment is usually between 3.5% and 20% of the property price, you can get an idea of how much you need to save.
Finding The Right Home For Your Needs
Some people feel that they can get their ideal home if they stretch their finances a bit further, which can be to their detriment. You have to make sure that you can afford the property but you need to make sure the home is perfect for your needs. People feel that they have to get a bigger property. But bigger doesn’t necessarily mean better. Sometimes we can look for properties that have recently been done out. But when you start to look at homes that are cozy or a bit more rustic, you may realize there’s more than a lick of paint that needs adding to the property, but this can work in your favor. Many older properties have character but they can also be sturdier. Newer properties can be made with cheaper materials. So if you can find the perfect home but it’s a little on the old side you could negotiate a cheaper asking price. But also it could be more of a blank canvas for you to make it the way you want it. So many people prefer new homes but when you buy a newer property there’s not much point in making changes to it.
A Property That You Can Grow With
You are buying a family home. You need somewhere that you can see your children take their first steps, come home from graduation, and be a place that has so many memories. The big problem many people have when they look at a property is that they can only see it in the present tense. There can always be potential for making wonderful memories. And when you prepare for your first family home you may become blindsided by the financial aspect. But buying a family home doesn’t have to mean buying an expensive property. You can mold it into something that is for you and your family. It needs to be practical but you’ve got to go with your gut and think about the property as being another member of the family. If you live in a house that falls apart, it’s going to be incredibly frustrating. And finding a property that you can grow with is one of those rare finds in life.