You need to consider the added responsibilities before owning a home and need to be sure it is the right choice for you and your family.
You are responsible for how you finance buying your home. For example, you may need to get a loan or mortgage to enable you to take up the Right to Buy. You will also become responsible for all the costs of maintaining your home, including routine repairs, major structural repairs, and improvements to it. Don't forget general living costs when working out what you can afford (food, bills etc.)
If you buy a flat, you'll become a leaseholder and will have to contribute to the maintenance of the building and surrounding area by paying service charges each year.
Think about the future, when your circumstances may change. Bear in mind that house prices and interest rates could go down as well as up.
Don't forget to think about the one-off costs too - such as stamp duty, a survey and solicitors fees.
You won't be eligible for housing benefit/housing element of universal credit if you become a homeowner.
You may want income protection or life insurance in case anything happens to you while paying back your loan or mortgage (some lenders require this).
Your home could be at risk if you fail to keep up with your mortgage or loan payments.
Has your home been built using a non-traditional type of construction?
Non-traditional construction utilises systems building and commonly includes one or more of the following elements; metal, concrete or timber frames, or concrete panel construction, instead of traditional brick wall construction.
Even if you don't need mortgage yourself, check whether lenders are willing to give loans or mortgage on the type of house or flat you are buying.
Many banks, building societies and financial institutions do not provide their services to customers with non-traditional construction types. If you’re purchasing a non-traditional construction type property you may experience problems getting a loan, mortgage or home insurance. Your home also could be difficult to resell when the time comes because many future buyers will need to use a mortgage to finance the purchase of your home.
Take a look at the following attachments:
Frequently asked questions