It has been recorded that the average first time buyer will under budget by around £6,500 when buying their first home. A recent survey carried out by Aviva showed that almost three quarters of the 2,000 home owners surveyed, under estimated how much was needed to purchase their first property.
Most had only saved the deposit that they believed was needed, as a result over half found themselves waiting another two years, enabling them to find the rest of the cash needed to get on the property ladder.
It takes a first time buyer nearly four years to save for their first home, saving just over an average of £12,000. In reality, the actual amount needed is around the £18,000 mark.
With a whopping three quarters of people surveyed admitting that they didn’t do enough research into purchasing their first home, Aviva launched its online first home website. The new site includes a step by step guide on things to consider when buying your first home and also a mortgage jargon buster.
Once a purchase has been made homeowners will spend an average of around £3,700 on essential repairs, more than they would have originally budgeted for. This along with all the associated fees such as stamp duty and removal costs can come as an unexpected barrier, leaving people forced to borrow more money from a lender or family members.
One in five people looking to buy their first home would now consider buying a house where significant repair work is needed just to get themselves onto the property ladder. Anyone looking at a project purchase must ensure that they investigate the structural condition of the property as well as the interior, as any major works can be costly and could put you in a difficult situation financially. The last thing you would want is your dream home turning into a nightmare.
Always, always get a fully comprehensive survey done so you can evaluate any costs beforehand. Take a look at our survey options on our website
* Research carried out by Aviva, for more info visit their website