The challenge of buying a home for the first time
The latest report from Reeds Rains estate and lettings agents has found that average house prices in England and Wales grew 6.6% annually, up £17,963 since December 2014 to reach £292,077 which could make it difficult for first time buyers to get on to the property ladder.*
The research shows a total of 85,000 home sales since 2006, with sales lifted up by the extra support available for first-time buyers and rising wages.
Reeds Rains regional managing director, John Wetherell explains: “The housing market has enjoyed steady growth during 2015 rewarding homeowners and reinforcing our shared desire to own our own homes.
This can present a challenge for first time buyers and we suggest the following to help them with their property searches:
- Arrange a meeting with a professional Reeds Rains mortgage advisor to find out how much you can borrow.
- Consider a Help to Buy ISA. This is a new type of ISA designed to help first time buyers save a deposit. The government will add 25% to your savings - up to a maximum of £3,000 on savings of £12,000. **
- Consider a shared ownership scheme allowing you to part-buy and part-rent your home. You buy a share of your chosen property (between 25% and 75%) on which you’ll have to take a shared ownership mortgage. You then pay an affordable rent on the remaining share you don’t own. ***
- Research the local market by visiting www.reedsrains.co.uk to find areas and property types you can afford and you like.
- Budget for the cost of your move and for the costs of living in your new home
- Make sure you have enough saved for your deposit and moving cost.”
If you would like to find out how Reeds Rains can help you as a buyer or seller, simply find your local branch by visiting www.reedrains.co.uk
(*) LSL House Price Index – December 2015
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Our initial mortgage consultation is free. We will charge a fee between £349 and £699 on application. The amount we will charge is dependent on the amount of research and administration required.
Reeds Rains is a trading name of Reeds Rains Limited. Reeds Rains Limited is an appointed representative of First Complete Limited, which is authorised and regulated by the Financial Conduct Authority (FRN:435779) for mortgage and non-investment insurance advice.