Tag: house buying

Top house searching tips & tricks

Top house searching tips & tricks

Although moving house may seem exciting, it’s often considered one of the most stressful experiences that we encounter during our lives. After all – there’s so much riding on it – so you have to make sure that you make the right decision.

With that in mind, here are some simple tips you can use to make finding the perfect property that much easier.

  • Work out your available budget. Take into account your income, loan & credit card debts and any savings that you may have built up to put towards a deposit. This useful online mortgage calculator can help you decide what’s affordable.
  • Consider all of your options to ensure that you’re looking for the right kind of property. For example, if you plan on raising a family, you may want to look for properties with multiple bedrooms. If you’re living alone, then you may be more suited to a sleek and stylish penthouse. To put it simply – don’t waste time looking at properties that won’t fit your needs.
  • Gain an understanding of the local area ahead of time. Your surroundings are just as, if not more, important than the property itself. Research what the neighbourhood is like and what amenities are on offer. You should also calculate exactly how long your commute would be – as sometimes it would be worth travelling for a little longer for the right property.
  • Write down a list of everything you need from your new home – including amenities. For example, if you’ll be working from home for the considerable future, you’ll also need space to set up the perfect home office.
  • If you’re moving to a new neighbourhood, gain an insight into what it’s truly like by browsing online groups and chatting with the local community. After all, they’ll be able to provide you with an honest, unbiased insight into the area that a real estate agent or landlord may not.
  • Ensure that you won’t be overpaying for a particular property by exploring and understanding the current local housing market. Investigate how much similar properties are going for, even if you aren’t necessarily interested in them. The more attuned you are to the financial side of things, the better.
  • Don’t be afraid to take on a property that needs a little TLC. Sometimes you can get them at a much lower price as a result. However, you should also be aware of any extra costs they’ll incur over time – such as the price of renovations. The benefit of reworking a property, however, is that you get to decide exactly how it looks moving forward.
  • Approach different housing agencies to find one that is the right fit for you. They’ll often specialise in different areas or types of properties, so it’s important that you find an agent who understands exactly what you’re looking for and can proceed with your best interest in mind.
  • Whenever you go to view a property, be sure to take photographs or even record a video; that way, you’ll always have a clear picture in your mind of what the property looks like. This is useful if you view multiple properties at once – as it can be hard to separate them all in your mind after the fact. Furthermore, photos taken by agencies or landlords will always be taken to showcase the property in the best possible light. This means they could be framed in a certain way that is disingenuous – making a room look much bigger or better than it actually is.
  • Remember that when you’re putting in an offer for a house or property, the figure is usually up for negotiation. Therefore, don’t be afraid to haggle over the price when making an offer, as you may be able to obtain a significant reduction on the overall costs – saving you hundreds if not thousands of pounds.
  • Although it may be a ‘love at first sight’ event, don’t sign up for the first house that you see. Try to view a few properties so that you’re aware of exactly what’s on offer and can find a property that’s exactly right for you. While this could mean that you end up deciding on that first property – you know that you’re making the right decision.
  • Pay attention to how well maintained the properties are that you’re viewing. There are certain warning signs – such as damp or mould – that you should always look out for, as they can be difficult to deal with and even cost you a lot of money to get under control. Don’t take on a property that you feel would be too expensive to remedy, and always request that the seller does the work ahead of exchange where possible.

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How to buy a new home in Canada with confidence

How to buy a new home in Canada with confidence

Buying a new home can be a seriously daunting prospect. With so many different things to consider and so much to organise, it’s easy to become overwhelmed during this process. If you’re selling your old home at the same time as buying a new one, then you have twice as much to consider and twice as much to get done!

Although it can be challenging, buying a new home should also be a joyful experience. The following tips are designed to support you through this time and to ensure you make the best decisions as you go.

illustration of budgeting

Stick to your budget

Taking on a new long-term financial responsibility can be one of the most stressful things about buying a new home. The cost of any house is likely to be a significant one, and before you embark upon this process, it’s a good idea to be completely certain of what you can afford.

Being entirely aware of your budget is the first step, and the second step is being able to stick to it!

In your search, you may come across properties that you fall in love with that are out of your price range. Try to take a sensible approach to this, and only look within your budget. This can ease the disappointment and can also keep you from over-stretching your finances.

Remember, there are often hidden costs involved with buying a house. Make sure you do your research to be fully aware of what’s involved. This will help you to avoid surprise charges later, which can squeeze your pocket and add to your stress.

Illustration of a real estate agent

Choose an expert real estate agent

Finding the best real estate agent is important when you are buying a new home. The right agent for you will be someone who can put your mind at ease while also making sure everything gets done on time and with precision.

Ontario is one of the most popular choices for house hunters, and many locals have chosen to work with expert Mansfield realtors when buying a home here.

Ask around for recommendations and also do your research online. It can also be worth meeting a potential real estate agent in person before deciding to work with them, so you can check that you feel comfortable with this person.

Illustration of a man moving cardboard boxes

Be prepared for moving day

Once all of the hard work of finding and buying a home is complete, you have still got the final task of moving in.

Many home-owners report this as being the most stressful moment of buying a new house, as they move all of their belongings from their old home to the new one.

If you don’t already know a reliable moving service, then check out reviews of relevant companies online. This will help you to know who you should choose for this important task. Be sure to confirm all of the details in advance, so there are no big surprises on the day such as timings, van size and the locations of point A and point B.

Moving day also generally entails getting your services hooked up and reassembling your furniture when it arrives. Therefore, make sure you’re aware of just how much time and energy this day is going to require!

Illustration of people shaking hands over a house sale

Enjoy your new home

When you’re buying your home, try to remember that the difficult moments are temporary and that you’ll soon be settled in to enjoy your new home. If you do encounter any bumps in the road on your house-buying journey, then try to look ahead to this point in the future to keep the smile on your face!

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Home loans: a traditional versus a reverse mortgage

Home loans: a traditional versus a reverse mortgage | H is for Home

When you retire, you become eligible for a different type of home loan. That loan can make your retirement more comfortable, potentially. It’s called a reverse mortgage. The question is can you really benefit more from a reverse mortgage than from a traditional mortgage? There are several ways in which the two types of home loans are similar, but there are also several major differences. You need to compare and contrast the two before deciding.

Mortgage word cloud

“Mortgage Cloud” by Got Credit is licensed under CC BY 2.0

Both traditional and reverse mortgages involve borrowing against your home equity

To get a traditional mortgage or a reverse mortgage, you must own your own home. That is because both are methods of accessing the equity, or cash value, of your home. That means you must have a home to get a mortgage of any type. Also, your home must have some real value to borrow against in either case.

Green pocket calculator with the word 'mortgage' in LED

“Mortgage” by Got Credit is licensed under CC BY 2.0

Both traditional and reverse mortgages provide you with quick cash

Another similarity is either type of mortgage agreement will provide you with quick cash. However, a standard home loan usually provides you with a lump sum. A reverse mortgage offers that option, but receiving ongoing monthly instalments is also a popular option. You can also choose to borrow only when you need certain amounts of money with a reverse mortgage by opening up a home equity line of credit.

Reverse mortgage and little house drawn on a blackboard

“Chalkboard Reverse Mortgage” by aag_photos is licensed under CC BY-SA 2.0

A reverse mortgage is a longer type of home loan

One major difference between a traditional mortgage and a reverse mortgage is the length of the loan agreement. You might take out a regular home loan for a relatively short period of time, such as three or five years. A reverse mortgage is meant to last much longer. You owe no portion of it back early in the agreement, and the loan stays active for as long as you remain living in the location. That means a reverse mortgage agreement can last for a non-specific period of time somewhat within your control. However, one of the possible disadvantages of reverse mortgages is a lengthy loan agreement creates more debt to eventually pay back. That is because the loan continues to accumulate interest over time.

Retirement nest egg illustration

“Retirement Savings Egg” by aag_photos is licensed under CC BY-SA 2.0

A reverse mortgage is only available when you retire

You can get a traditional home loan at any stage in your adult life, as long as you meet all qualifications. However, you can only obtain a reverse mortgage after reaching 62 years of age. Perhaps this is a time in your life where you’re thinking about refinancing your mortgage. The reason is the reverse mortgage was specifically developed as a response to the unique financial challenges associated with retirement. When you retire, you may not have the financial stability to survive without taking out a mortgage on your home. At the same time, you may be unable to afford to make traditional mortgage payments. A reverse mortgage doesn’t require you to adhere to a schedule when repaying the loan.

Piggy bank with reverse mortgage graph on a blackboard in the background

“Reverse Mortgage Piggy Bank” by aag_photos is licensed under CC BY-SA 2.0

It is more difficult to default on a reverse mortgage

Another difference between standard and reverse mortgages is the ways in which you can go into default, or violate the loan agreement. With a standard mortgage, you risk eviction if you miss payments. A reverse mortgage comes with no such risk because payments are not scheduled to begin with. However, it is still possible to violate your reverse mortgage agreement.

Your reverse mortgage agreement will require you to live in the home on a full-time basis. It will also require you to be capable of taking care of property maintenance, including payment of property taxes. If you fail to meet those obligations, file for bankruptcy, or move out of the home, the agreement will be violated. At that point, whatever amount you still owe will become due.

Illustation showing retirement cash in a jar

“Retirement Savings” by aag_photos is licensed under CC BY-SA 2.0

A reverse mortgage protects your other assets

A reverse mortgage is also popular retiree option because it is possible your home can be sold if you cannot pay the balance eventually, but your other assets are protected. For example, your cars or other property cannot be confiscated to cover the debt. Only the home itself is at risk, and only when you move or otherwise violate your loan terms without paying the full amount owed.

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The pros & cons of new-build homes

If you’re planning on moving house, you’ll probably see lots of options on the market. These days, there are so many new housing developments offering loads of new-build homes. So, your options are more diverse than ever before.

The question we want to tackle is; should you buy a new-build home, or go for an older one? There’s no definitive answer, but we can look at the pros and cons of new-builds:

Upside-down facade on a house

Pro: Modern designs

Obviously, new housing developments have the benefit of being modern. Everything is designed to be on-trend, so you get a house with excellent interior and exterior design. With pre-owned homes, you may inherit some interior design from the 80s, meaning you have a big job on your hands making it look modern.

Cladding on a new-build house

Pro: More energy efficient

Another critical advantage of new-builds is that they’re built to current energy standards. As a result, you get a home that’s more energy efficient than a lot of old-builds. It retains more heat, meaning your spending on energy bills will be lower.

Wood-clad modern houses

Pro: Less effort involved in moving

The downside of older homes that have been sold by someone else is that it takes longer to move in. You have to get all your stuff ready, then the previous owners have to move everything they own out as well. With a lot of new-build homes, the companies behind them make life easier for you. You can find Redrow Housing Developments with properties that are ready for you to move straight into. So, it’s just a case of getting your belongings together and moving in. Instead of the process taking a few months, it could take only a couple of days!

New-build house with for sale signage outside

Con: More expensive

Perhaps the key disadvantage of new homes is that they’ll be more expensive than their older counterparts. This is simply because they’re more modern, and no one has lived in them before. So, if you’re buying a house on a strict budget, it can sometimes be hard to find a new development that fits your requirements and your budget.

Purpose-built, multi-storey flats

Con: Harder to get a mortgage

The fact that a lot of new builds are more expensive than older properties means it’s harder for you to get mortgages for them. Usually, lenders ask for larger deposits because the house price is so high. As such, you might not be able to pass the application requirements to get the loan you need.

Wooden framed house being built

Con: Homes aren’t always built

While some new properties are already built and ready for you to move into, some might not be. You could buy a house, then have to wait for it to be constructed and prepared for you. Of course, this all depends on the specific home you’re buying. If you only look for new-builds that are ready to move into, then it won’t be an issue.

New housing developments have their fair share of pros and cons. Ultimately, it comes down to your budget, where you want to move, and how fast you’re hoping to move.

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