Is next year the year you move to your dream house?

Oct 13, 2021 | Expenses

You’ve probably noticed the turbulence in the 2021 property market. Stamp duty holiday deadlines and the travails of the coronavirus economic recovery have distorted values and the number of transactions. 

Could 2022 be the calmer year you have been waiting for to finally move to your dream house?

We all know what it’s like to idly scroll through Rightmove or Zoopla in search of your forever home. But what happens when you actually find the one: when location, price, garden, and space for that home gym are all aligned?

If you are serious about securing it, you’ll need to be good to go – or “proceedable”, as the estate agents will tell you. 

To be in this position, there are a few actions to take. They may involve work, so to be nimble when the opportunity arises, consider doing these now.

Get a valuation

The value of your current house is probably going to play a major part in how much you can afford to splash out on your dream home, so this is an important number to understand. 

Depending on how similar your property is to others in the area, you may be able to get a reasonable idea of value online.

As a starting point, look on the property sites for what similar houses have sold for recently, or complete a formal online valuation. 

To get something more accurate, however, it may be worth inviting a local estate agent to value your home. Their knowledge of the area, and their understanding of quirks unique to your property, are likely to give you a more reliable figure.

Carry out any remedial work

The estate agent may advise you to give a lick of paint to the entrance hall and have that broken banister which you’d gotten used to mended. 

We’re not talking about a complete refurb, but if you weigh up what is worth patching up to hold your price up and ease the sale, it will pay to get it done early.

Good tradesmen often have long waiting lists, so the last thing you want to do is delay and then find you can’t get anyone out before you need to put your house on the market.

Think holistically

Before taking that next and maybe final step on the property ladder, make sure that this is the right time to be doing so. 

Are your jobs secure, will the new home match your future family and work situation in terms of number of rooms, access to schools, the commute and home working space? 

And in terms of financing, do you have any upcoming costs or windfalls that are worth factoring in such as school fees, a pension tax-free lump sum or an inheritance?

Get a mortgage in principle

Chances are, if you are moving up the property ladder you will need more mortgage provision. 

Mortgage rates are still very low, but there are a lot of moving parts to be considered: current employment status (going self-employed is something that catches many people out), income, loan-to-value rate, other borrowing…

What an estate agent will be looking for in order for you to be proceedable is a mortgage in principle. 

While this is not binding, it shows the amount a lender is prepared to offer you (and at what rate) based on an initial presentation of your circumstances. It will also, of course, help you understand how much you can stretch to for your new home.

Get started now

We can help you get started by securing a mortgage in principle. 

Simply book a consultation and we can talk you through your current options. Then it’s over to you to get the rest of your ducks in a row.