17Feb2019

First Time Buyer Problems

It is a very exciting time when you first start to gain a foothold on the property ladder. First time homebuyers bring much excitement to the process, but there are so many different factors to consider, and many costs that aren’t initially apparent, that it can be easy to make mistakes.

Here, we take a look at some of the problems that first time buyers face.

A Small Deposit – The deposit required for a first time homebuyer has continued to increase at a staggering pace over the last few decades, and at this moment in time it remains the biggest obstacle to first time buyers. Although you’ll need to save more than the deposit to ensure you have enough, there are other options, including smaller deposits and larger loans, shared ownership, and help to buy.

Consider other Costs – On top of the deposit and mortgage costs, what about other costs? You’ll be expected to make monthly payments towards property insurance, council tax, life assurance, utilities, as well as now be responsible for all maintenance and repair costs.

Don’t Borrow Too Much  -Always think long-term. There is no point agreeing to a mortgage that will overstretch your finances for the foreseeable future. If you are in agreement to make larger monthly payments, consider the knock-on effect this will have on all other aspects of your life.

Whatever you decide to do, it is important that you have expert assistance and guidance from day one. Contact the friendly Central Mortgages team for help and insight into a wide range of mortgages and loans. You can speak to us on 01277 630 183 or office@centralmortgages.net.

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