As professional letting agents in London, Proper Local Estate Agents have seen a number of first-time homebuyers. Our general rule of thumb is to make the process of buying your home for the first time as easy as possible. There are however many mistakes that can be made when viewing property on the Isle of Dogs or looking at property in east London. Here are some of the top mistakes and how to avoid them:
Going to the edge of your budget: mortgage agents are often going to give you much more money than you should reasonably spend on a your first home. A mortgage agent is going to give you the maximum amount that you qualify for without counting for some of your basic monthly expenses. It's important to stay realistic and to keep the total cost of your home and no more than 32% of your total monthly income. Stretching yourself too far can make the process of living in your home very difficult.
Looking at the bare minimum: having a first home that's extremely reasonable can be one thing but if you have no room to actually grow for your family or for your storage concerns, you could be severely limiting yourself in the home you buy. By purchasing a home that's too small or too under budget you may only find yourself in a first home for a few years or end up with an investment in east London real estate that doesn't make you much money in the end.
Forgetting about hidden costs: there are a number of hidden costs associated with the final sale of a home. We advise many of our East London real estate purchasers to allot between 2 to 4% of the final sale price of the home available for closing costs on the home. These can range from lawyers’ fees, service hookups, commissions, transfer taxes and more.
Foreclosed properties is good place to start for first time home buyers. Keep some of these mistakes in mind and remember that Proper Local is a company that's here to guide you through your first real estate purchase.
