For first time buyers, their number 1 priority is usually getting a great deal on their dream home. They may not be able to afford a 4 bedroom palace straight away, but it’s good to aim for a mini palace with at least 2 bedrooms. There’s no set price for a house, even if it’s advertised at a certain price on a website. There are many ways you can get a great deal, from ensuring you get the best mortgage to having an offer accepted on a house. Read on to learn more:
Make Sure Your Finances are Under Control
The first thing you need to do is make sure your finances are under control. You won’t even be considered for a mortgage if it looks as if you can’t manage your money very well. You should have money saved, and avoid spending all of your money each month. Don’t live on the edge of credit either, as this will look as if you’re struggling. Even if you’re not, you must think about what it’s going to look like to somebody inspecting your finances.
Improve Your Credit Rating
By making sure your credit rating is in top form, you’ll get a better mortgage deal. You can do this by making sure you pay all of your bills on time, that you haven’t got any outstanding debts, and that there are no mistakes on your rating. Mistakes can happen, so make sure you dispute them.
Shop Around for a Mortgage
Shop around for mortgages if you have the option. Different lenders will offer various benefits and features, so you’ll need to weigh up which one suits you best.
Save Up a Big Deposit
The bigger the deposit you can save up, the better! Saving up a big deposit is beneficial for you in a number of ways. Not only will you end up paying less money back each month, it’ll also look much better to lenders. They’ll think that you can handle your money and are good at saving up when you need to.
Have a Cash Cushion
As well as your deposit, you need a cash cushion behind you. It’s recommended you need at least 6 months worth of money to live off behind you, so you can survive if you were to lose your job or your circumstances were to change. The bigger this cushion, the better! It’ll give you peace of mind too.
Speak to a Mortgage Broker
A mortgage broker can give you great advice and point you in the right direction. Once you’ve given them all of your information they should be able to help you decide on the right route for you.
Put in an Offer
Put in an offer on your dream home, but always offer less than stated on the site to begin with. There’s always haggling involved when buying a house, and you should be able to get it for at least a few thousand cheaper.