Your first home is a huge milestone, and it’s also going to be your most difficult purchase. Buying a property later on is far easier, especially if you sell higher than you bought that initial property for. Getting on the property ladder can be daunting, but there are many tips, tricks, and schemes available to make it possible.
Government Schemes
There are a variety of schemes available. Some are offered universally throughout the UK, others are available only in certain countries, like Wales. The top options today include:
- Help to Buy: Equity Loan
- Help to Buy: ISA
- Lifetime ISA
- Help to Buy Wales
- Homebuy Wales
- Rent to Own Wales
- Shared Ownership
- Shared Ownership Wales
When working out your budget and what you can afford always keep in mind that you need to also consider stamp duty/land transaction tax, surveyors reports, conveyancing fees, search fees, building insurance, moving costs, repair costs, mortgage, life insurance, and any service or ground rent.
Getting a Mortgage
One of the first steps is to get the ball rolling on a mortgage. This will help you know what you are preapproved for, and it can also help you get a better idea of what you can expect. In order to get the best deal for your mortgage it’s often recommended to go through a mortgage broker, and not just any, but one that understands how you work. New doctors, for example, may find it difficult to get a mortgage since their work isn’t “stable”. Having a rolling six-month contract or other ongoing contract means nothing when you are a frontline worker, and yet traditional lenders may not understand and deny you mortgages you can afford. That is why it is always best to find a broker who understands your job and how you are paid, especially if you are looking for great 1st time buyer mortgages for doctors.
Choosing the Right Property
There are a few things to consider when looking to buy. The first is to understand your needs and what you feel most at home with. If this is a large property, then you will likely need to move away from city-centres, especially London.
What’s more important, however, is the level of project that you take on. If you are looking to save upfront with a fixer upper then you need to be very, very aware of every issue that could come up. Opt for the most in-depth surveyor report and let them know in advance the types of changes you are hoping to make, so they know to investigate the property with that focus.
Be Prepared for the Wait
It takes time to be preapproved for a mortgage, but what you may not realize is that, even if the seller says yes to your bid, it could still take months before the paperwork is finalized and everything is settled. There are many, many hiccups that could come your way, and while some of it may be paperwork, others might be logistical. Be prepared for the wait and have a living situation you don’t have to rush out of (for example, with your parents) so that you can make the right first home choice for yourself.
