Getting on the property ladder might be a challenge but fortunately, there are a few different options for homebuyers. If you’re looking to invest in real estate for the first time you could consider a shared equity mortgage. In order to save money, you could also buy a new build “off-plan”. Perhaps you would prefer to invest in a rental to make earnings from your new property. Nowadays there are also plenty of great real estate apps that can help you decide. Here are five alternative ways to buy a house.
Shared equity mortgage
This is an option for first-time buyers who are interested in real estate slightly beyond their budget. You can opt for shared ownership with the landlord, meaning you only own a percentage of the property. The end goal tends to be to eventually buy the remainder of the property yourself. For more details on how to do this, here are shared equity mortgages explained.
Consider a new build
There are certainly pros and cons of new builds. They tend to be more energy-efficient so cheaper to run overtime. You can also often get a reduced rate on a new build while construction is in progress. This is known as off-plan. Another positive thing about new builds is that there aren’t previous owners to deal with so you can plan a stress-free move with a shorter chain. There are often teething problems with new builds, however, so do your research.
Remortgage your current property
If you’re thinking about selling your current property to move to a smaller place you could consider other alternatives. You could stay in the same property and instead leverage its equity. You can find out how much equity you can leverage using a Reverse Mortgage Calculator. This is a way to boost your retirement funding without downsizing, for example.
Invest in a vacation home
You could invest in a rental and make money from your real estate. One option is to buy a vacation home. These tend to have a higher yield in terms of rent as you can charge more for a shorter time. The staycation trend is here to stay and maybe people are looking to rent properties in more local destinations. You can also use the property for your own staycations. Here are a few more of the benefits of owning a vacation home.
Let technology do the work for you
Viewing property doesn’t have to be restricted to booking a tour with a realtor. With advances in technology such as virtual reality and artificial intelligence, you can check out new homes online. Here are some of the best real estate apps in 2021 you can try. Let technology do the work for you. These apps give you estimated prices, notifications based on your personal preferences, and the means of contacting interested parties. It’s much easier to buy a house remotely nowadays. You can even take a virtual tour of the entire place and get all the information you need.