If you have plans to invest in the property market of Coventry for the first time, the foremost thing that you ought to do is know where the most affordable units are. An average 2- or 3-bedroom property in the city would cost around £174,400, requiring a deposit of nearly £26,160. According to top estate agents in Coventry, the cheapest spots can be found in the northern part of the city, in Longford and Holbrooks. Prices for first-time buyers are as low as £153,979 and the deposit needed is £23,097. More affordable options are available in Nuneaton, Bedworth and Bulkington too. If you have an enormous budget and are financially well-prepared, you can also check out the CV5 postcode, which includes areas like Eastern Green, Brownshill Green, Allesley, Chapelfields and Earlsdon.
How to prepare financially?
If you wish to borrow a lesser percentage of the property’s value and enjoy improved mortgage rates, build up your deposit to at least 10 percent. Of course, you are allowed to put down a lower amount in certain cases, but doing so can lead to higher mortgage payments every month.
Facing challenges to raising a deposit? Try looking for good schemes of shared ownership where you get to possess a specific percentage and pay low rent for the remainder. Also, there are plenty of building societies and banks that will let you borrow up to 4 times your current salary, provided you have a good credit score and can repay the mortgage conveniently. Experienced estate agents also recommend getting in touch with a mortgage advisor to decide upon the most suitable deal. You can easily obtain quotes online from different service providers and choose one that fits your budget.
When buying a home for the first time, bear in mind that there will be additional expenses like moving costs and the amount you need to pay to a licensed conveyancer. There should be no hidden fees, and make sure that you understand the potential sources for extra costs. The better news amidst all of it is that the stamp duty land tax is now waived for those who buy a property valued at or more than £300,000 for the first time.
While browsing properties as a first-timer, make it a habit to ask questions like “Is there a monthly fee for maintenance?”, “Do I have to pay for a parking ticket regularly?” and so on. Also, researching areas down to a level of street by street can increase your chances of finding the best value property.