You’ve seen two of the biggest and best tips when it comes to avoiding the financial pitfalls of first time home owning. You know that you should try to keep expenditure to the bare minimum. You know that you should nix the move when it just isn’t going to plan.
But, there is one other way to avoid said financial pitfalls. This other way involves thinking outside of the box when it comes to actually buying your first home.
For advice on how to do just that, make sure to read on.
Ask for a Gift of Funds or Borrow Them From Loved Ones
In order to de-stress the task that is putting a deposit down on your first home, simply ask for help in regards to it. By asking for a gift of funds, or by borrowing enough to cover whatever percentage of the overall house price that you are being asked to put down, you will find that the pressure of doing so will be relieved immeasurably.
But, when doing this you must be aware that the mortgage lender you go into business with will want proof stating that the money you put down is, in fact, yours to do so. So, if you do receive a gift of money from a loved one, they need to sign a document stating that this is the case. Or if you borrow money from a loved one, they need to sign a document that acknowledged that you are in fact now in debt to them.
And, if asking for financial help is just something you cannot bring yourself to do, then make sure to check out these tips on how to do so. Remember, don’t feel embarrassed, don’t feel like a nuisance and don’t feel ashamed — your loved ones will want to help!
Get a Guarantee From Your Parents
As a first time home buyer, you will have no clout in regards to home ownership as there is no evidence of you previously doing it. Therefore, lenders are always going to be wary when it comes to them deciding if they want to go into business with you or not. But, you can ease your prospective mortgage lender’s worries by getting a guarantee from your parents.
By getting yourself a guarantee from your parents, especially if they own their home and have done for quite some time, you will find that mortgage lenders will be opening their doors up to you a lot more. This is because it shows that you have what it takes to take home owning and all the issues of finance attached to it seriously because you have been brought up in an environment that showcased the ability to do so daily. What’s more, lenders will know that they will be able to get their money back from somewhere if you were to default on your payment obligations.
Joint Purchase a Property With Another Person
If you are not all that fussed about owning your first home outright then purchasing it with another person, which could even be one of your parents, could be the best option for you.
When you do so, you and whomever you purchase the property with all own and be entitled to shares (which don’t necessarily have to be equal).
And by doing so, you will provide yourself with more home-owning security and the chance to build capital gain return in ways that you just wouldn’t if you went into the venture on your own.
To joint purchase a property, you must do it all legally and coherently. Simply, written agreements must be documented and signed by all the parties involved — all the purchasers, any guarantors, and the mortgage lenders — in order to show that the home is officially co-owned and co-habituated.
And, this is not just a necessary procedure to literally get your feet in your new home’s door; no, it’s also to save anybody involved in the deal from being taken advantage of in regards to maintenance and repair issues and the overall management of the property.
Well, if the boiler broke (through no fault of yours) you wouldn’t want to pay the price of fixing it all by yourself, would you?
More often than not, you will find cheaper housing options than the ones found in your current country of residence elsewhere in the world.
Somewhere, there will be a home that fits the bill in regards to your criteria that is way cheaper than a similar, or even worse, home in the country you currently live in or the country of your birth.
Somewhere, even in its furthest corners, the world is harboring the home of your dreams for half the price you’d expect to pay in your country of birth. It’s up to you to locate it and then put an offer in on it!
To find out where these homes exist, you’re going to have to do your research. This, in this day and age, of course, means jumping straight onto the Internet.
This then means looking at sites that are dedicated solely to showcasing the latest and best housing deals in a specific country, such as https://rumahdijual.com/jakarta-timur/ that provides a comprehensive list of all the current housing options found in East Jakarta, Indonesia.
And, before you claim that upping and sticks and relocating to somewhere like Southeast Asia is a bit far-fetched, make sure you really think about it. Think about you could grow as a person through being immersed in a culture completely different to your own.
Think about all the things you can learn about that specific culture and way of life. Truly, when you think about it like this, moving abroad isn’t just about finding cheaper housing options, it’s about really finding you, too.
When it comes to buying your first home, make sure to take heed of the outside of the box advice above. And, make sure to carry on thinking outside of the box as you progress through the journey that is owning your first home, too!