We got the mortgage in principle, we know how much we can spend and will be looking to buy somewhere soon - does N gauge forum have any advice on buying your first home? Any little gems would be gratefully received!

Cheers

Dan

(On an aside note, Mrs Dan didn't baulk at buying a mk1 BG to convert into a home and she has even considered house backing onto railway lines, what a girl!)

If you are buying a new house remember you need to budget for things like curtain rails, blinds, light bulbs and fittings, and probably the garden will bare earth at the back. I learned this the hard way with my first home.

I assume you have a Mortgage on your 1st home.
If so, and it is not an Interest only Mortgage - find out exactly when they calculate the following year's Interest.

If you are say paying £200 a month in mortgage repayments, put aside in an interest bearing savings a/c £200 in January. If the mortgage company calculates the next year's interest say on the 1st of the following January (or December 31st) - using the £200 you saved make an "extra" mortgage repayment on the 30th of December and this will reduce the Capitol owed by £200 times the number of years left on your mortgage (eg. X 25).

If you do this every year you will considerably shorten the term of yout mortgage and the total interest you pay on it, and you will have gained 12 months interest on the amount you invest each year.

Have done this with each mortgage we took out (with Bradford & Bingley), and this enabled us to put a bigger deposit down on the next home we bought, and always had plenty of "positive" equity.

The last home we took a mortgage out on in the U.K. realised 5 times what we originally paid for it when we sold it prior to Emigration, and constantly making a "13th" monthly payment at the end of each year ment the final "settlement" figure was a lot less than it could have been.   

I don't think that works any more, given the current almost-zero savings interest rates !  But I do an over-payment that reduces the capital of my loan every month, so the interest (calculated monthly) is less each time ... and therefore more is against the capital each time.

If it's a new home : make sure you do a snagging list with the builder, and also insist on a revisit after x months to address any other snags that become apparent

There's other things, but a lot depends on where you are, the area concerned & the type of house - eg out in the sticks, odds are you won't have gas but will need to buy oil - so join a discount scheme !  Can save up to 10p per litre on oil.

All really good tips from the guys and gals here.

Try and appoint a local legal firm so you can walk in and sort out any 'problems' face-to-face quickly. Dealing with remote/online conveyancers can be a PITA!

Like Mike, once I could afford it, I overpaid a bit each month and it cut 5 years off the mortgage.

The tip re cheaper oil is a good one as long as a large tanker can get down your road. We're on a narrow lane so aren't able to join such a scheme. Nice and quiet though!

Good luck with whatever you decide to buy.

Dave G

Quote from: daveg on May 06, 2015, 09:29:21 PM
The tip re cheaper oil is a good one as long as a large tanker can get down your road. We're on a narrow lane so aren't able to join such a scheme. Nice and quiet though!

Dave,

Can't they do a baby tanker ?  Normally a small premium, but with the savings ...

If buying from someone else, cast your eyes round their furnishings & fittings as well as the house so if you see something you both like you can make them an offer for things not usually left and which they may not want to take with them. With my first house I did a deal on a perfectly good dining table & chairs and a cooker. Most first house buys are of a smallish property so items are bought to fit the room size.
If possible pay the extra for a really good survey as it could pay dividends in the future.
If you have kids/pets, stay outside the property at various times of the day and check what traffic is like i.e. do folks observe speed limits or drive like loonies
Take parents (if available) with you to a viewing/2nd viewing as they've been through this possibly several times in their lifetime.
Last of all, check out where your layout will go (some might say this should be top of the list).
Work out what you can afford if the mortgage rate increases. I bought my second house when the rate was 9% and it rocketed to 15%. I'd have lost that house to repossession if I hadn't found a 3 year deal at a fixed 11%.
All the above are in no order of priority and are just the outpourings from my brain cell.

Quote from: MikeDunn on May 06, 2015, 09:59:37 PM

Quote from: daveg on May 06, 2015, 09:29:21 PM
The tip re cheaper oil is a good one as long as a large tanker can get down your road. We're on a narrow lane so aren't able to join such a scheme. Nice and quiet though!

Dave,

Can't they do a baby tanker ?  Normally a small premium, but with the savings ...

Is pumping babies into a tank actually legal?

Where abouts are you intending to live, Dan?

Mrs Dan sounds like a champion!  Just ask her for a model railway room with a house attached   

Seriously, good luck with it. It is one of the most important decisions you ever make. 

Quote from: newportnobby on May 06, 2015, 10:09:11 PM

Quote from: MikeDunn on May 06, 2015, 09:59:37 PM

Quote from: daveg on May 06, 2015, 09:29:21 PM
The tip re cheaper oil is a good one as long as a large tanker can get down your road. We're on a narrow lane so aren't able to join such a scheme. Nice and quiet though!

Dave,

Can't they do a baby tanker ?  Normally a small premium, but with the savings ...

Is pumping babies into a tank actually legal?

Thanks Mike - I shall ask the question.

Mick: Yes! 

Dave G

http://www.helptobuy.org.uk

https://www.gov.uk/affordable-home-ownership-schemes/help-to-buy-equity-loans



And shared ownership is worth considering

http://www.homefocus.co.uk/Shared_Ownership

Wits helped my son get a toehold on the housing ladder (£250k studio flat in W London)

Thanks for the advice everyone

Quote from: Malc on May 06, 2015, 10:15:08 PM
Where abouts are you intending to live, Dan?

We've been looking at houses in South Manchester, near to where we currently are in Chorlton. We've got a mortgage in principle from our mortgage advisor on the help to buy thing so we only needed a 5% deposit, although a 10% would've been better (but would've taken another year to save it!) - I'm hoping to get something with 3 bedrooms, similar to what we have now.

Quote from: newportnobby on May 06, 2015, 10:09:11 PM
Is pumping babies into a tank actually legal?

I'll resist the temptation of pointing to "our glorious leader", and just comment that it is as long as it's a tankette
http://en.wikipedia.org/wiki/Carden_Loyd_tankette

Factor in 2 options

1) interest rates re at an historic low - what will an increase in rates cost you?

I.e. Now .5% or so - what if 5%?? Could you afford this?

2) house prices now generally rising across the country so buy now may be the best strategy

However if the economy goes bad as a result of the Election fiasco, and prices fall , would it be better to wait??

I suspect a digital decision maker ( 2 bob bit) will be needed??