While owning a house is a dream come true for many, it’s likely to be the most expensive purchase you’ve ever made. And since you have thought about it for a long time now, you have an extensive list of features that you desire- whether it’s a gourmet kitchen, a large master bedroom with walk-in closets or even a spacious bathroom with a Jacuzzi.
While you don’t want to skimp on the accessories that you want to see in your home, having an extensive list can drive up the cost and make it hard for you to match the budget. This might make your dream of owning a house seem so far away. However, before you start being remorseful about your inability to score a home, here are a few tips that can help you get a property on a budget.
1. Be realistic in your property search by establishing a firm price limit
If you are on a budget, it is imperative to think realistically about the size, location, and type of property you want to purchase. While the bank determines how much you can afford when on a pre-approved mortgage, you shouldn’t assume that the amount they provide is what you should spend. Conduct in-depth research online and come up with a reasonable estimate of how much you can afford. And although you may want a house with a view or a spacious bathroom, you should understand that it all depends on the capital you have. Search for properties that are within your income level so that you don’t bite more than you can chew.
2. Leverage buying schemes that cater to low budget buyers
Governments and states have been on introducing new schemes to help low-income earners and first-time homeowners purchase a property. These buying schemes come with lucrative incentives that help low budget buyers get onto the property ladder without too much hassle. Some of the plans that first-time buyers in the UK can take advantage of include Help to Buy, Right to Buy, and Shared Ownership among others.
3. Search houses on several platforms
Searching a property on several platforms provides you with variety, thereby allowing you to train your mind to find great deals. It’s important for homebuyers to learn the act sorting properties by price. When doing an online search on platforms such as Zillow, Realtor.com, Trulia and Redfin, the homes for sale are listed from the most expensive by default. It is crucial for buyers to sort the properties by “cheapest first” so that you can have a list of the most affordable houses at their disposal.
4. Look for properties outside the city
Another excellent way to find a low-budget but quality home is by focusing your search outside the city. Properties in the metropolitan towns and suburbs are relatively expensive than those in rural. However, this doesn’t mean that you will look for a house in the middle of nowhere. Generally, you will find low-priced communities that are just minutes or hours from major cities. In Canada, for example, pre-construction condos in Whitby would cost much cheaper than in Toronto, which is just a 40-minute drive away.
5. Don’t engage in bidding wars
Competing with other buyers of a particular house is not recommended if you are on a budget; you may find yourself making an offer that you regret for the rest of your life. When you find your ideal property and feel like you will end up in a bidding frenzy, it is better to look the other way or else you end up paying more than you can afford. Websites such as https://www.flyinghomes.co.uk/ have years of experience in buying houses and they recommend that you decide your final offer beforehand so that you can always resist the urge to exceed that limit.
Being happy doesn’t mean you occupy the most expensive home on the street. It takes a great deal to make you feel contented. However, staying within the budget takes commitment and discipline. We hope the above tips will help you find a suitable property on a budget.