More to buying first home than just raising a deposit

FIRST-TIME buyers are not asking the right questions when it comes to the purchase of a new home, according to research by HSBC.

While getting together a big enough deposit is seen as the biggest obstacle facing people trying to get on the housing ladder, many are ill-equipped for the decisions they will face when they do have the money.

Thirty-five per cent said location was their main consideration, followed by size of the outside space on 27 per cent, and local amenities on 21 per cent.

However, few considered more practical aspects such as plans for development in the area, the condition of nearby properties, signs of subsidence, or the cost to update the property.

Peter Dockar, head of mortgages at HSBC, said: “It is important that first-time buyers consider more than just their immediate desires when looking for their first home, as otherwise they could well be in for a financial headache further down the line.

“While in the excitement of searching for their first property they may not like to think about the required maintenance or, the condition of items such as the boiler, these will be a concern if it is something that they have to pay to fix at a later date.

“Buying a home is a serious financial commitment so it is important that first-time buyers do their homework and are aware of all of the potential costs.”