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Things to Think About Before You Move

May 26th, 2022 Posted in Money Tips, Property Investment
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Moving house may be a costly and stressful experience; it’s something we all go through, but it shouldn’t be done on the spur of the moment. There are numerous factors to ponder and consider before taking the plunge, including the obvious such as saving money where possible. Some really crucial things may not even cross your mind, yet they may become an issue later. Your home is your safe haven, where you may create memories and make them your own. You want to be sure it meets all of your short and long-term requirements.

Things to Think About Before You Move - packing box and suitcases, home move image
Photo by Ketut Subiyanto:

One of the first questions you should ask yourself is if you can afford the house. When looking for a home, you will most likely have certain expectations and items on your wishlist, but the perfect home will rarely exist, and even if one does, it may be out of your price range. When moving, especially if it’s your first home, you’ll want to be sure you can afford it because owning a home is expensive, and you won’t always know how much you’ll be spending. You can look at average bill costs in the area, but they are likely to fluctuate, and they won’t include items like meals, luxury, and other personal expenses. If you spread yourself too thin, you won’t be able to cope when costs rise, which they usually do, or if you have an emergency that requires a lump sum payment. Mortgages are a big thing and no matter how much you earn you may still need to get one, whether that’s a small one or a million pound mortgage. They can help you get to the home of your dreams. 

If you have a family, you should consider how long you plan to stay and what the local schools are like. Some people will move just to be in a better school catchment area, so if you consider this ahead of time, you will avoid any complications when they are ready to attend school. However, if you have young children, you should consider nurseries and childcare, as well as the fact that schools can change. A change in headteachers and the types of students in a school can drastically alter its quality. So, while you can never be certain, you may make an educated guess and do what you want at the time. 

There are crucial things to consider before moving house, such as what you want around you. Are you a city dweller who enjoys being surrounded by the hustle and bustle of everyday life and has a 24-hour shop around the corner? You could want to live a quiet and serene life surrounded by nature and the countryside. If you prefer a more natural environment in your new house, consider moving to a different place. This is the ideal lifestyle for young families and adventurous couples. Relocate to an area where you can afford to buy a home without a burdensome mortgage that leaves you with nothing. Live the life you’ve always wanted in the country.

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Five Reasons To Build Your Home

April 12th, 2022 Posted in Property Investment
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When it comes to buying your house, you often get a choice between buying and building one. Most of the stress of having a new home that you buy is in trying to fit one to your needs. But what about what you want for your new home? Designing one yourself is going to be a great project, and building your new home is going to take time and if you can design it yourself you’ll be able to create something amazing.
When you build instead of buying an established home, you are going to have the luxury of making it look exactly as you want it to look. Some companies offer expert New Home AfterCare so that you can get help long after the house has been built, too. Whether you are looking for a house you can rent out or you are looking to build one that you can stay in forever, we’ve got some stunning reasons that you should go ahead and build a custom home for yourself and your family.

Five Reasons To Build Your Home - house under construction image
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  1. The experience. Being able to say that you are a custom home builder is a big deal, and the experience of planning and designing a house on your own is going to really teach you something. You’ll get to know how to hire the right building and planning teams and you’ll even have the experience of using design programs to design the interiors.
  2. The freedom. Did you know that most home builders feel free? It doesn’t matter where you build, the chances are that you get to build in an area that matters to you and you have freedom to choose where that is. You get to choose the location and the layout of your dream home and that can make a massive difference to the experience you have. 
  3. The flexibility. It’s not just the flexibility of choosing where all the rooms go, but the flexibility to choose the finance companies that you use. You have a lot of choices to make and your home is going to be uniquely, 100% yours because of those choices.
  4. The efficiency. When you are building your home with the help of a contractor, you’re going to be able to make it an efficient project. You’re going to have the choice of builders and designers to help you to make the whole project go off without a hitch. It’s one of the best things to do when you build your home from the ground up.
  5. The customization. The chances of you being able to build a pantry or a laundry into your home go right up when you build your home yourself. You can customize things to be exactly how you want them to be, no matter what you choose.

Building your own home can be a game changer in being a homeowner. You will get to make a house the home you want it to be, from the interior design to the exterior facades, your home is all yours.

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How to Get Your Child to Learn More About Real Estate

March 14th, 2022 Posted in kids and money, learning about money, Property Investment
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Teaching can be fairly easy when it comes to your first few years as a parent. You’re taking care of your little one, you’re letting them develop their own interests, and on top of that you’re teaching them the basic things such as ABC and counting to ten. While the theory of teaching and taking care of children sound simple, in practice, it can be quite challenging of course. But as your child navigates through life, they’ll learn more about how to survive once they reach adulthood so they can thrive.  While school can teach plenty of life lessons to your children, one thing they don’t teach is real estate.

Real estate and real estate investing are important. It needs to be known and understood so adults can purchase their first house. But property value isn’t the only thing either, interest, mortgage, banks, savings, and overall financial health also play a major impact in this as well. These are things that aren’t exactly covered in school, quite possibly in college as well.  So, how can you teach this to your little one? How can you get them to understand the importance of financial health and the impact of real estate? These helpful tips may be all you need to get started on this journey.

How to Get Your Child to Learn More About Real Estate - model red house and key image
Photo by Tierra Mallorca on Unsplash

Why is it so important to teach children about real estate?

Many people think that it is not a good idea to teach their kids about real estate because they want them to have a carefree childhood. While that’s understandable, a child has to learn so they can make smart decisions once they reach adulthood. Besides, there are many benefits to learning about real estate at a young age. Children who are taught about real estate at an early age are more likely to purchase their first home before the age of 30.

Start by teaching them the value of a dollar

Children believe that money is an infinite source, that there doesn’t need to be any work, trade, or anything in order to receive it. It’s natural for kids, especially small kids to have their train of thought. So, what can be done? First, begin by teaching them that money is a scarce resource and it’s not something that their parents can pull out of thin air.  You just need to find an age-appropriate way to get them to understand, and one of the classic ways is through chores.  Getting them to understand money at a young age is going to ensure financial wellbeing.

Letting them work for the money will also let them know that there needs to be some sort of trade to get money. It also teaches them that if they want something, they will need to work for it, and it also teaches them that the things they have, are thanks to their parents working for it.  It takes a little while to teach, but kids will eventually get the understanding.

Let them play video games

While real estate is something that can be difficult to grasp for someone at any age, the sooner, the better. So teaching it to them at a young age will be optimal. If you love video games, then this could be a great and engaging way to have some fun with your child while also teaching them about real estate.  There are plenty of video games that are out that do teach basic economics, financial health, and real estate. You, of course, will want to choose a game that can nicely reflect on your child’s age.

While The Sims franchise can be a great option if you have a tween to teenager, for the younger kids you could opt-in to playing Animal Crossing or Harvest Moon. This family fun bonding time can be one of the best ways to get your kid interested in real estate.

Get them involved

If you’re a property owner, why not talk about your property with your little one? You can explain the ways that you’re working towards raising the value of the property (such as home renovations or curb appeal), but if you have multiple properties, you can get them involved in that as well.  This can include letting them look at a lodger agreement template for your tenants, but you can even teach them the odds and ends of how you invest.

 Children are visual learners, so getting them to learn all about this up-close and personal can be a great way to get them to understand all about it. So just bring them along when you’re working on boosting property value, managing money for your real estate, and when you’re hunting for real estate to buy. It can be a great educational experience for them. 

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5 Tips To Keep Your Mortgage Repayments Low

February 28th, 2022 Posted in Money Tips, Property Investment
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The average mortgage payment in the UK is £723 per month with an interest rate of 2.48%, according to property experts. However, repayments vary greatly depending on many factors. 

Whether you’ve got your eyes set on a property already or you are simply exploring the real estate market, one of the most important questions you need to ask yourself is: How can you make your mortgage payments more manageable? 

Some tips can help keep your mortgage costs as low as possible. 

5 Tips To Keep Your Mortgage Repayments Low - estate agent holding model house image
Photo by Towfiqu barbhuiya on Unsplash

#1. Avoid banks, go with a broker

Unlike a banker, a mortgage broker can help find the right mortgage deal for your situation. Brokers are more likely to get you a special rate from money lenders through their connections. As a unique client, you can’t negotiate a lower deal. Yet, a broker can rely on the volume of business they generate to obtain the best possible deal for you. 

Additionally, brokers are also more likely to manage your fees and application process, helping waive high costs in the process. 

#2. Consider your deposit

Typically, your down payment will range between 20% and 40% of the property value. While you can secure mortgage loans with as little as 5% deposit, you want to make sure you can save ahead for your down payment. Being able to pay upfront a high deposit has two important advantages:

Firstly, it can make your price offer more attractive to the property seller. 

Secondly, it also reduces the total mortgage amount, which means you can make monthly payments more affordable. 

#3. Improve your credit score

Your credit score affects your creditworthiness, aka the kind of loans you can apply to. You are more likely to find cheaper mortgages with a higher credit score. Boosting your credit score takes time. Check your annual credit report to review the data available about your finances. Errors can have serious consequences, so make sure credit report agencies have the right data. If you have a joint financial product with your partner, it’s worth checking that their financial history doesn’t affect your score. 

#4. Refinance your mortgage

In essence, refinancing your mortgage means you take out a new loan to replace the former mortgage. Refinancing can save you a lot of money if:

  • Your credit score has improved significantly
  • There are better mortgage deals available with lower market interest rates
  • Your home’s value has gone up, so you’re available for lower rates

You don’t have to wait for your current mortgage to come to an end, and you can search for a better deal up to 6 months before your current deal stops. Typically, mortgages provide a fixed rate deal for 2 to 5 years, after which your interest rate may increase. 

#5. Overpay your repayments

Not every lender is happy to let you pay more than agreed per month. However, if your lender is willing to let you increase your monthly payment amount, it can be worth considering repaying your mortgage sooner. It’s a great option for those who have made unexpected capital gains through inheritance or non-taxable wins. 

Keeping your mortgage fees as low as possible is no easy task. However, you have many options to ensure you get the best deal and manage your wealth in the most profitable way. 

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Everything You Need to Know About the Financial Aspects of Buying Property

February 28th, 2022 Posted in Property Investment
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There are many important financial considerations when buying a property. Therefore, it’s crucial to understand all the costs associated with the purchase to decide whether or not to buy. This blog post will discuss some of the critical financial aspects of property buying. 

Everything You Need to Know About the Financial Aspects of Buying Property - dream house at sunset image
Photo by Alex Staudinger from Pexels

1) The Down Payment

One of the most important financial aspects of buying a property is the down payment. This is the amount of money you pay upfront to secure the property. The down payment usually ranges from 20% to 40% of the total purchase price, although many exceptions exist. 

If you don’t have enough cash saved up for a down payment, you may be able to get a loan from a bank or other lending institution. However, be aware that taking out a loan will increase your monthly payments and could also add years to the time it takes to pay off your mortgage. 

2) The Mortgage

Once you’ve saved up enough for a down payment, the next step is to get a mortgage. A mortgage is a loan from a bank or other lending institution that enables you to purchase a property. The mortgage will have specific terms and conditions, including the amount of money you need to borrow, the interest rate, and the length of time it will take to pay back the loan. 

It’s essential to shop around for the best mortgage rates and different mortgage brokers, as they can vary significantly from lender to lender. Also, be sure to read all the fine print before signing any paperwork! 

3) The Closing Costs

In addition to the down payment and mortgage, there are also closing costs associated with buying property. These are fees charged by the lender, real estate agent, government, and others involved in the transaction. Closing costs can add up quickly, so it’s important to factor them into your budget when considering whether or not to purchase a property. 

4) The Maintenance Costs

Once you’ve purchased a property, there will also be ongoing maintenance costs. These can include things like painting, repairs, landscaping, and more. It’s important to factor these costs into your budget when deciding whether or not to buy a property. 

5) The Property Taxes

Another important financial consideration when buying a property is property taxes. These are levied by the government and can be a significant amount of money, depending on the property’s value. Therefore, it’s important to factor in property taxes when budgeting for your purchase. 

6) The Insurance

When you purchase a property, you will also need to get insurance. This protects you in case of damage to the property or if someone is injured while on the property. The cost of insurance will vary depending on the property’s value and the location. 

There are many important financial considerations to consider when buying property. By understanding all the associated costs, you can make an informed decision about whether or not purchasing a property is the right choice for you.

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