Planning to buy a home?
Is this your first real estate transaction?
Well, if the answers to the questions above are yes then you should consider paying attention to the tips mentioned below.
It is always a good idea to top up the deposit amount
As per the expert opinion of a veteran real estate agent associated with https://wirral.co.uk first time home buyers should opt for Lifetime ISA – an individual saving account that is offered by the UK government that can help anyone to boost their savings by up to one thousand pounds each year.
To open the aforementioned account one would need to be in the age bracket of 18 and 39 years old.The maximum amount one can save in their LISA account is four thousand pounds.
The funds deposited in a LISA account will be available to the account holder just after twelve months to buy their first home that has a market value of not more than 450,000 pounds.
Always ensure that you have a good credit score
Applying for a mortgage is a must. It not only provides you respite from the wrath of the tax people but also helps you to keep yourself from going bankrupt.
On that note, it is also essential to keep in mind that you would need to make sure that your credit score is good in case you don’t want your mortgage application from getting rejected.
On top of this, in case you are awarded a mortgage even when you have a bad or an average credit score, chances will be rife that the interest rates on the same will be sky-high.
To keep the instances mentioned above at bay, you should take the following steps to make sure your credit score remains in the ‘best – to – good’ range –
- Always repay your credit card debts, EMIs on time.
- Close credit cards that you do not use.
- Always repay the credit card debt in full each month.
Be sure to make the most out of schemes available from the government
The UK government also offers quite a few financial products to UK residents in case they are planning to buy their first home.
For instance, ‘equity loan’ is a great option where all you would need to do is put in a 5% deposit. This is where the government steps in and awards you with a 20 per cent loan amount that is free of interest for the first 5 years.This applies to London residents who can also avail of up to 40 per cent loan on the price of a property that is newly built and has a market value of up to 600,000 pounds.
For more details, be sure to seek assistance from a revered real estate agent.
It is evident by now that buying a home and that too for the first time is a lengthy and confusing process. This is the reason why one should take assistance from a veteran real estate agent. It is the only way all the paperwork and the whole real estate transaction process complete seamlessly as well as within a finite time frame.