If you are a first time buyer, the whole house buying process can be an exciting if often gruelling experience. In order to simplify the process HD Keane have developed some top tips for first time buyers.
Use the services of a mortgage broker
Consider using the services of a mortgage broker who will compare the various mortgage options available to you and hopefully recommend the best mortgage on the market to meet your needs.
Plan and stick to your budget
It is a good idea to stick to a strict budget when saving for your first deposit. Ensure that the budget you set for yourself is workable and attainable. Plan a specific budget up until the purchase of your house and compile a revised budget for after you receive the keys to your first house, in order to ensure you make your mortgage repayments on a regular basis.
Strive to save as much as possible for your deposit
The larger your deposit, the less you will have to repay your mortgage provider in the long run and the more equity you will have on your house from day 1.
Hire the services of a good solicitor
The legal work involved in regards buying or selling a property is called conveyancing. A good solicitors practice will guide you through each stage of the process; answer any questions you may have in a friendly and speedy manner, keeping you fully informed at each stage of this often stressful process.
Get rid of excess debt
As mentioned in Tip 3 your focus should be to save as much as possible towards your deposit. This will make it easier for a mortgage provider to sanction your mortgage. However, they will also take an overall financial view of your situation and assess whether you owe excess debt from other sources. Therefore you may need to do away with credit cards that you don’t need and finish off your car payments early in order to make a good impression with your potential mortgage provider.
Make sure you receive all the grants and assistance that you are entitled to
New home are exempt from property tax up until 2016. There are also grants available to increase the energy efficiency of your new home in addition to tax relief for home renovations, which comes in the form of a tax credit of 13.5% for qualifying expenditure. To qualify for the home renovation incentive you must be an owner occupier paying income tax and having met your obligations under the local property tax.
The list above is not exhaustive and you should consult the Revenue Commissioner’s website, www.revenue.ie for further details.