Nowadays everything seems to be against first-time buyers. Has anyone any tips or advice on how to buy a house???
2006-10-31 22:41:07 · 13 answers · asked by monty_4_wayland 1 in Business & Finance ➔ Renting & Real Estate
I live in the South of England
2006-11-01 00:37:16 · update #1
There should be a helpline for us first timers. Its a nightmare. Sorry my answer isnt very constructive, but I wanted you to know I share your plight!
2006-10-31 22:43:31 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Its difficult, no doubt about it. But its not right to state that its "nowadays".
These days the expectation is that you can buy your own house, 40 years ago it was very rare for people to buy thier own houses.
The goal posts have undoubtadly moved, but the first time buyers have also moved them into one of expectation and "its my right", whereas years ago it was only the select few that owned.
Mortgage yourself to the sky, stop all comfort and non esentials. beg and borrow from relatives, have an empty house for a year because you can't afford to heat it or buy furniture.....its what people used to do.
In other countries "ownership" is not such an obsession and they are much happier.
Heather above is wrong in who she blames, although "blaming" is undoubtedly a modern hobby.
House prices in the UK shot up in the 1980s. There were 3 main things that occured all at once.
1 - social housing was sold off so no entry level housing was available and the demand for first time homes outstripped the market
2 - The political objectives created a social focus on money
3 - both partners being in full time employment became the norm so there was more purchasing power in a family unit. Before that houses were generally bought on one salary.
Just facts, not saying any of them are morally right or wrong.
2006-10-31 22:54:39 · answer #2 · answered by Michael H 7 · 0⤊ 1⤋
Not sure where you are located - US or outside US? I'm in the US, so not sure what the rules are from country to country.
A great way to buy a house if you have limited savings, is to use a Seller Assist. In essence, if you put 0% down on the loan the lender will allow a Seller Assist up to 3% of the purchase price towards closing costs.
Also, do you have family members that can give you money as a gift towards closings costs/down payment? Even if a small amount, every little bit can help. Important to note, lenders will not allow you to borrow money from friends and family to pay for down payment and/or closing costs.
Also, if you still need a little extra money, and if you're willing to take a slightly higher interest rate, you can ask the lender for a rebate/credit towards closing costs. Please note, this will only supplement the the seller assist as it may amount only amount to a few hundred bucks.
2006-10-31 23:35:43 · answer #3 · answered by Anonymous · 0⤊ 0⤋
I know it's hard given the disparity between average house prices and average salaries, but if you really want your own place you need to
a) find an area you can afford
b) save every penny you have for the deposit. This means you shouldn't waste money on things like gadgets, new cars, expensive holidays, alcohol, cigarettes etc
c) increase your income either by getting a second job, or making your skills more valuable
Just don't borrow more than you can comfortably afford to pay off
At risk of sounding like an old man - you have to know what your priorities are.
This is how I managed to get my place. Actually it was my wife who forced me to save every penny rather than blowing it on a flash car....
2006-10-31 23:00:21 · answer #4 · answered by bw_r005t3r 2 · 1⤊ 0⤋
I know several people who have shared ownerships in London.
You buy a certain share in a property and you can staircase and buy a higher percentage when funds allow.
Be careful some housing associations schemes are very expensive, shop around. If you are a keyworker there are schemes available to you too.
2006-11-01 01:22:03 · answer #5 · answered by Denny 3 · 0⤊ 0⤋
it's impossible to get a house. At the moment we've had to move into mother in laws to save a deposit but when you've been used to your own space for three years it's really hard, i can't wait.
the guidelines say not to get a mortgage unless you have a 10% deposit, but the goal posts keep changing as the house prices rise.
i blame buy to let investors and the public watching property porn on tv.
2006-10-31 22:43:57 · answer #6 · answered by Heather 5 · 2⤊ 0⤋
make the house pay for it's self i have a house that does i have a basement suite in a fixer upper. the rent pays my mortgage and i just pay the utilities. if you can do this you are better off but it is more of a hassle. share the expense of the house with you at the top and in charge
2006-10-31 23:14:17 · answer #7 · answered by Anonymous · 0⤊ 0⤋
I'm in the process in buying mine now but the only thing I find is it takes a hell of a long time, there are company's out there who welcome first time buyers like TML etc , as long as you have a good job and can prove your income you should have no problems in getting a mortgage.
2006-10-31 22:45:01 · answer #8 · answered by Ivan 3 · 0⤊ 0⤋
you need a fixer upper they seem to be the only ons going cheap enough or maybe try an auction but make sure if you do you ceck the legal packs
2006-10-31 22:44:33 · answer #9 · answered by Anonymous · 0⤊ 0⤋
Go to a mortgage advisor at your local estate agents, he will find the best mortgage deal for you.
2006-10-31 22:44:05 · answer #10 · answered by Anonymous · 0⤊ 0⤋