Home ownership is definitely becoming more difficult in many parts of the country as issues of affordability begin to bite and buyers find it harder than ever to raise the precious deposit needed to secure the home loan they need.
For many would-be buyers the task is seen as too difficult and they have resigned themselves to being tenants forever or at least until they are old and grey.
If you’re a would-be first time buyer feeling the same, avoid the negative mindset, self-pity and feel-sorry-for-me routine.
Wake up to the countless reasons why it’s really pretty easy for you to become a homeowner – if you are prepared to explore the full range of possibilities and not be blinkered, downbeat and over-receptive to the politically motivated media agenda that homeownership is something incredibly difficult.
If you are worried about raising a deposit, read my book Quick House Deposit.
Here are 10 super-powerful reasons why you should be able to get on the property ladder in no time at all if you put your mind to it…
1. Even on average wages, you can afford to buy in most parts of England & Wales if you can raise a deposit. There are still parts of the country where you can buy a property for less than £50,000. Pluck up the courage to move to where you can afford rather than pay good money for poor quality rental accommodation in some so-called fashionable city.
Use the very helpful BBC house price calculator to find out where you can afford to buy, taking into account your deposit and earnings
2. Leverage parents, grand parents, family, friends, loved ones, colleagues, employers…anyone you can think of to get your hands on part or all the deposit you need fast – especially by utilising any property they own.
3. Take up any right you have to buy your council home or to acquire your housing association home.
Is getting a mortgage easy? (looks at the ins and outs of getting a mortgage)
5 must know mortgage facts (key features property owners must know)
Raise funds by remortgaging (considers the ins and outs of remortgaging)
4. Take up a government low interest loan of up to 40% of the value of a qualifying new property under the Help to Buy equity loan scheme.
5. Get the free £3,000 on offer from the government by investing in a Help to Buy ISA. If you buy with someone else each of you receive £3,000, giving a total of £6,000.
6. Make use of the government’s stamp duty exemptions for first time buyers of regular or shared ownership homes up to £500,000 in value.
7. Purchase a shared ownership property if you qualify. With shared ownership you can own as little as 25% of the property, such a share costing less than £50,000 in many cases.
8. Halve the cost of buying and running a property by purchasing with someone else on a co-ownership basis.
TOP TIPS WHEN BUYING
Top 5 tips for first time homeowners the world over (essential general information)
10 easy ways onto the property ladder (must know ways to become a homeowner)
Beware of developers bearing gifts (why not all incentives are a giveaway)
9. Look at buying state of the art, innovative, low cost micro-homes, including flat pack properties, which can start for as little as around £10,000.
10. Rent-invest in a location enjoying strong capital growth in order to fast-build a deposit which you can use to buy a home.
Rent-invest is a new strategy of buying an investment property in an affordable area while renting, with the objective of using: (1) savings on housing costs and rents and (2) income and capital gains on the investment property to fast forward home purchase or achieve other investment goals.
If you are prepared to cast your net widely and look outside the box, there are many straightforward and widely accessible ways for you to become a homeowner. Don’t listen to the naysayers. If you do, you could be a renter all your life.
Are you seeing any interesting, cost-effective or innovative ways in which first time buyers are getting onto the housing ladder? Please leave your comments below.
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Rebel Property Coach
My website is: www.rebelpropertycoach.com