How to reduce the cost of buying a home

How to reduce the cost of buying a home

Are you considering moving to a new house but aren’t keen on the costs that come with it? If the answer is yes, you might be pleased to know that just because buying a house can be expensive; it doesn’t necessarily have to be. The truth is that you can buy property without it breaking the bank, it’s just a case of taking steps to minimize the amount that needs to be spent.

When you invest in property, whether it’s to live in or to rent out to make a profit from, there’s usually a range of fees that come with the purchase. In addition to a variety of other costs. However, just because these costs can be high, they don’t have to be. Want to reduce the cost of buying a home? Below is a list of useful tips that it is worth implementing in your property purchasing search, to help reduce your buying costs.

House shaped from £20 notes

Take out a 95% mortgage

One of the most significant costs that comes with purchasing property is the cost of the deposit. To be accepted for a mortgage loan, usually a 25% deposit is required, sometimes even more than that. This is a lot of money and can be one of the highest costs associated with buying property. However, the good news is that there are 95% mortgages that you can consider taking out. These are mortgages where you only need a five percent deposit, rather than a 25% one. Not all mortgage companies offer these types of mortgages and not everyone is eligible for them, but if you take the time to do your research and shop around, you may be able to successfully apply for this kind of mortgage and save yourself thousands.

Mortgage document

Save on the cost of fees

Another high cost that is associated with purchasing property is the cost of covering the fees that come with buying a property. These can run into thousands and are usually incredibly high in price. However, there are steps that you can take to reduce the cost of these. One of these steps is by using the Open Listings websites to house hunt, make offers online, and securing a 50% commission refund. Believe it or not, there are lots of websites that offer a range of deals for buyers, helping to save money on the cost of property fees. Take the time to do your research, and you’re sure to come across some incredible deals.

Moving cardboard boxes

Move out of your old home & into your new one

The moving costs that come with purchasing a new home can also be high. Instead of renting out a moving van and professional movers, consider moving yourself out of your old home and into your new one. The process may take longer and be more stressful, but if it reduces the cost of moving to somewhere new, surely it is worthwhile?

Buying a new home is always going to be costly. However, it doesn’t have to be overly expensive.

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