Thinking outside the box when buying a house

There is more than one way to secure a property in your name…

If you’ve been looking into a company that can buy my house fast then it’s a sign that you’re in need of a new house. But buying a house just isn’t as simple or as easy as it used to be. With house prices constantly rising, many young people are left trying to come to terms with the idea of never becoming a homeowner, earning them the nickname ‘Generation Rent’. This doesn’t just apply to one country, but throughout the world homebuyers are trying to find a way they can buy a house that won’t put them into serious debt. Whether they are planning on brick-and-mortar homes, or are thinking about getting prefab/mobile homes through Florida Real Estate companies, they want what is best for their situation. All of it can be a bit of a minefield without the proper resources and services.

The average house price in the UK is around 216,000, and in London it gets close to half a million. Over the next few years, the average house price is expected to rise to around 270,000. What’s more, in 2016 housing charity Shelter reported that by 2020 first0time buyers will need a household income of at least 64,000, along with a 46,000 deposit, just to buy an average home in a desirable location.

Alongside hiring a professional company like finlaybrewer.co.uk to help ease the stresses of finding your dream home, removing any unwanted worry about the cost of buying a house is something that many potential homeowners want to relieve next.

Because of the increase in prices, many first-time buyers are finding new and unique ways to get on the housing ladder. From buying with their friends to using bridging loans for house purchase, these are just some of the ways people are thinking outside the box when it comes to securing their first home.

Auction wins

Auctions are very different to the traditional property market. This fast-paced environment gives you access to properties which would otherwise pass you by. These might be old homes, potential projects or even homes with are essentially derelict and in need of some major TLC. However, there are endless hidden gems to be found at auction, so if you have a deposit it can be a great alternative to more typical buying methods. In order to secure a deposit, bridging finance can be very useful (more on that later).

Make sure you don’t get too excited by the guide prices though. These tend to be extremely low, but bidding will raise the price so be sure to have a firm maximum which you know you can afford. You don’t want to get caught in a bidding war.

On the other hand, if you’re on the other side of the transaction, Selling an Inherited Property at auction can also offer exciting possibilities. Whether the home needs a little TLC or is move-in ready, it can be a great opportunity to maximize its value. Some buyers are eager to find unique properties or fixer-uppers, making an inherited home attractive in today’s market. You can choose to make renovations for a higher sale price or sell as-is for a quicker transaction. Either way, selling an inherited property can be a rewarding process with the right approach and strategy.

Buying with friends

It makes sense that, unable to afford a home on their own, more and more first-time buyers are choosing to invest in a property with a sibling, partner or friend. By pooling two incomes and two lots of savings together, you’re much more likely to be able to afford a worthwhile property in your desired area.

Of course, there are risks involved. Relationships can break up, friends can fall out and things can turn sour, but if you choose the right person, and are completely honest about your intentions from the outset, there’s no reason why this can’t work.

Buying with parents

Similarly, many people are turning to their parents for help with home purchases. This trend has led to the informal concept of the “Bank of Mum and Dad,” where parents assist their adult children in navigating the real estate market. With the rise of guarantor mortgages, where parents guarantee the loan, allowing their children to secure financing more easily, more families are collaborating on home purchases.

In this scenario, parents may act as guarantors, using their assets as security for the loan. With their help, individuals could explore sarasota homes for sale or properties in other areas, taking advantage of diverse options that suit various budgets, from affordable starter homes to luxurious estates. While this strategy tends to carry some risks, it can also provide young buyers with greater opportunities for financial stability and access to better properties as they work toward securing their first home.

Bridging loans for house purchase

The frustrating thing for many current renters is that they know that monthly mortgage payments are often more affordable than rent costs. However, it’s the deposit that they can’t afford. For this, you need access to a significant amount of funding quickly, and that’s exactly what bridging loans can provide. This is short-term finance which can help you bridge a gap in your funds or take advantage of an opportunity. Once you’ve secured your new home using your bridging loan, you can pay it back in instalments. Bridging loans are designed to give you fast flexibility and freedom on the property market, so it’s definitely something to consider.