If you are a first time homebuyer, there are a few points on a loan for homebuyers that you should keep in mind. These pointers simply ensure that you don’t burden yourself with a loan or repayment and that you can get a justified return.
The pointers to a loan for homebuyers are:
1) Work out your affordability and repayment that would build up against your loan – Apart from price of new home, there are several other one-timely costs you are likely to incur when you buy your house. These one-time costs may include survey lender’s valuation or basic valuation, arrangement fee legal and conveyance fees, land registry fees and so on.
2) Calculate amount you can:
a) get from sale of any current home b) borrow c) can arrange from your savings or investments.
3) You then need to calculate approximate costs of buying and moving. By subtracting this cost from total amount you can arrange, will give you a rough estimate of price range you should target.
4) Conduct a survey for your loan as well as home you are planning to buy – This is expensive but very important. This turns out to be profitable in long run.
5) Now, actually you can go ahead and try selecting house from options available. Even if you have made a proper survey done for your home, try doing a bit of investigation. Since average homebuyer do not buy a house frequently, you must take every possible measure to get best deal. a) Take a good note of location and neighbourhood. b) Think about type of house that would suffice you. c) The general condition, layout, and other minute details about house. d) One of most important legal minutes to note is whether house is on leasehold or freehold and registered and unregistered property.