This is based on the comparison of monthly mortgage payments to monthly rental costs and the results of studies confirm that first-time homebuyers may actually be able to save more than £2,000 per year. As the costs of living are constantly rising, more and more people are reconsidering options that will essentially help save substantial amounts of money in the long run.
Considering The Benefits Of The Investment
While it may be somewhat easier to simply rent out a property, there are significantly more downfalls involved, especially when acknowledging that the rental amount you are paying will not establish any kind of ownership over the property. There is a certain sense of comfort that purchasing a property will be able to provide and with the impressive amount you will likely be able to save each year, working towards your own investment should be the ultimate intention. Even though paying off a mortgage loan is understandably a big responsibility, the choice of purchasing a home offers more benefits when compared to renting someone else’s property.
Compare Your Options
It would be a wise decision to weigh up the pros and cons involved according to your own individual situation in order to gain clarity on the best solution. As there may be instances where renting is the more sensible option, although, it is far more common to strive towards purchasing your own property. When comparing your options, you can gain insight into the specifics of mortgage costs by taking advantage of the services available from platforms like Habito. These services include useful mortgage calculators and the ability to compare mortgage deals offered by various lenders. This will essentially ensure that you are able to determine the most affordable solution.
Taking Advantage Of Money Saving Methods
While purchasing a property is often the more affordable option, first-time buyers can further increase their savings with various money saving methods. Such methods include purchasing a home that would need improvement rather than a home that boasts modern renovations. This would allow buyers to negotiate the asking price to a lower and more appealing price. Buyers can also save monthly with a larger down payment on their mortgage to significantly reduce the relevant interest fees and the total amount that is repayable. Additionally, homeowners are able to increase property value by renovating in a cost-efficient manner.
Realistically, there are numerous ways that first-time buyers can get the best value for their money. Opting for a home that requires work will prove a great option as property value typically increases over time and the fact that owning a home is far more of a stable and predictable living solution when compared to renting, it would be a wise financial decision as your investment will gain equity and value.