Category: Buying A Home

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Homeowner vs Renter: What Are the Pros and Cons?

Properties In Clacton, Essex - Paveys Estate Agencies

One of the biggest decisions that most people will make in their lifetime is whether to buy a home or rent one. Both options come with their own set of pros and cons, which can make the decision-making process challenging. In this blog post, we will explore the pros and cons of both homeownership and renting to help you make an informed decision.

Pros of Homeownership:

  1. Equity Building: Homeownership allows you to build equity in your property over time, which can be used to secure loans or credit. Your mortgage payments gradually decrease the amount owed on your property, while its value may appreciate, allowing you to accrue more equity. This equity can be used to take out a home equity loan, which can help you finance other projects or cover unexpected expenses.
  2. Stability: Homeownership provides a sense of stability as it allows you to have a permanent residence. You do not have to worry about moving out due to the landlord selling the property or deciding to rent to someone else. This means you can establish roots in a community and enjoy the benefits of being a part of it.
  3. Creative Freedom: Owning a home gives you the freedom to make changes to the property as you please. You can renovate, paint, and decorate your home to your liking without seeking permission from a landlord.

Cons of Homeownership:

  1. High Initial Costs: The cost of homeownership can be significantly higher than renting, as it often requires a large down payment, closing costs, and ongoing maintenance costs. In addition, homeownership comes with property taxes and homeowner’s insurance, which can add up quickly.
  2. Responsibility for Maintenance: Homeowners are responsible for maintaining their property, which can be time-consuming and costly. This includes regular maintenance tasks such as lawn care, roof repairs, and appliance replacements.
  3. Lack of Flexibility: Owning a home ties you to a specific location,
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Top Towns in Tendring to Live

As Paveys Estate Agents, we know a thing or two about the best places to live in Tendring. Here are our top picks for the best towns to call home in this lovely part of Essex.

Clacton-on-Sea: If you’re looking for a seaside town with plenty to do, Clacton-on-Sea is the place for you. With its own pier, an array of shops and plenty of restaurants, there’s something for everyone in Clacton. And, of course, it’s just a short drive from some of Tendring’s other great towns.

Frinton-on-Sea: If you’re looking for a more relaxed seaside town, Frinton-on-Sea is the perfect place for you. With its beautiful beaches and pretty gardens, Frinton is a great place to unwind and relax. And, with easy access to Colchester and Ipswich, it’s perfect for commuters too.

Jaywick: Jaywick is a hidden gem in Tendring. With its own sandy beach and pretty views, it’s the perfect place to get away from it all. And, with Colchester just a short drive away, you can enjoy the best of both worlds in Jaywick.

Walton-on-the-Naze: If you’re looking for a traditional seaside town, Walton-on-the-Naze is the place for you. With its iconic pier and wide range of shops, it’s perfect for a day out by the sea. And, with easy access to both Clacton and Frinton, it’s perfect for exploring all that Tendring has to offer.

So there you have it, our top towns in Tendring to live. Whether you’re looking for a seaside town or a hidden gem, we’re sure you’ll find the perfect place for you in Tendring.

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New housing measures promised to boost home ownership

The government has announced a series of new measures to help more people onto the property ladder.

Estate agents Paveys have welcomed the news, saying that it will help to increase demand for homes.

The measures include:

– A new Help to Buy scheme, which will offer loans of up to 20% of the value of a new home to first-time buyers

– An extension of the Right to Buy scheme, which will help more council tenants to buy their homes

– A new scheme to help people who are struggling to get a mortgage

Paveys Estate Agents managing director, Matthew Pavey, said: “The government’s new measures will help to increase demand for homes and ultimately help to get more people onto the property ladder.

The policy is aimed at encouraging lower-paid workers to be able to use housing benefits to purchase a home—the Prime Minister wishes to modify the rules on welfare so that people who receive housing subsidies have the option of using it for rent or investing in a mortgage, effectively ‘turning benefits into bricks.’ To ensure that individuals on benefits can continue to save without their assistance being jeopardized, Johnson announced that Lifetime and Help to Buy ISA savings may be exempted from qualification criteria.

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Does Autumn Affect The Property Market?

Autumn is essentially the end of the hottest season of the year for selling and buying property. That’s true both literally and figuratively. The buying and selling season begins in late spring and rapidly comes to a close towards the end of summer.

So, by the time you reach Autumn, people are becoming more desperate to get their home sold. This tends to be the time when asking prices tend to drop. It’s also the point where you can find great deals on the market. You can make sure that you are able to find your dream home for significantly less.

autumn property market

You may also find there is a lower level of competition to buy through autumn. There are certainly less people searching the property market for their dream home.

However, there are also less people selling. This can make finding the property that you want to purchase more difficult. You might struggle to discover a property that you love, even as prices begin to decline.

Autumn also means the evenings are getting darker. That’s an issue for home viewings as you’re less likely to be able to get to a property to see it during the day. This can make it more difficult to know about issues with lighting or other variables that impact whether people want to commit to a sale.

Finally, if you purchase a home in Autumn, you are more likely to be moving through the winter season. The weather can make this far more challenging and evening more expensive.

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Top Tips For Saving For Your First Home

Thinking about buying your first home? You’re probably trying to figure out how you can save up enough to make the purchase. Well, here’s a quick guide to saving for your first home that you will find useful:

Choose a good savings account

Firstly, you need to ensure you get more from your savings. Standard savings accounts aren’t very good as the interest rates tend to be poor. Instead, open a Help to Buy ISA, and you’ll enjoy far superior interest rates. Plus, the government runs a scheme that boosts your savings by 25%. Instantly, this little switch will mean you save more money thanks to interest.

Set up a standing order

Having a good savings account isn’t enough to help you save up for that mortgage deposit. You must remain consistent with your savings. To do this, set up a standing order that automatically deposits money in your savings whenever you want.

Look at your monthly bank statements and work out how much you can afford to save every month. As long as you have enough left to pay for bills, food, and the odd treat, then you’ll be fine. Save the rest, and you’ll reach your goal quickly.

Check out Help to Buy schemes

We already mentioned a Help to Buy ISA, but there are other Help to Buy schemes as well. One scheme lets you buy a home with just a 5% deposit. This means you have to save a lot less than the usual 20%. Here, you effectively take out an equity loan that buys the property for you. You can buy as little as 25% of the home, then pay the remaining 75% as rent. Eventually, you’ll own the house entirely.

Check out these ideas if you’re struggling to save for your first home. They should help you reach your target quicker and get your hands on a new set of keys.

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What Are Estate Agent Fees?

An estate agent fee is money you pay to an estate agent for help selling your home. You don’t have to pay estate agents at all when selling your home if you decide to sell privately and do your own advertising, but you could find it difficult to find buyers.

How Do Estate Agent Fees Work?

If you are buying a property, you do not pay estate agent fees. If you are selling a property through an estate agent, then you will have to pay a fee when the property sells.

How Much Are Estate Agent Fees?

As in any industry, the prices that different companies charge can differ substantially. Most estate agents in the UK charge between 0.75% and 3.5% of the selling price of the property. So, for instance, if the estate agent fee is 2.00% and you sell your home for £450,000, then you’ll pay the estate agent £9,000 in costs.

Sometimes, estate agents will quote fees without including VAT, which they are legally obliged to collect. If the estate agents fees are not inclusive of VAT, then you’ll have to pay an additional 20 per cent in sales tax. In the above example, the total paid will be £10,800.

What Do You Get For Your Money?

Why pay an estate agent? What do you get for your money?

  • Have them deal with the paperwork
  • Advertise your home for sale at their offices and via the internet
  • Negotiate with buyers
  • Work together with your solicitor to ensure legal protection
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Things to Look For When Buying a House

Buying a house is a big expense so it has to be right. Like your wedding day, there are months of planning, stress and the really big payoff. When buying a house, you need to look out for certain things to make sure your purchase is right. Check out our top tips for purchasing your house, whether it be your first purchase or you have purchased before.

1. Check out the roof and outside of the building

Before you rush inside, take a look at the outside of the building. Check the roof, is it old or new? Does It need repairing? Have a look at the brickwork of the house and see for any slip tide or cracks in the walls.

2. Don’t judge a book by its cover

When walking around the property, try to imagine it as black and white. You will kick yourself if you do not buy the house just because of one room and how it looks. Don’t forget you will be the proud owner of your house and you will be able to change everything about it. The structure of the house is more important. Check for loose wires, damp & mould, aging boilers and heating systems

3. Touch everything

When walking around the house, touch everything. The bannister, walls, door handles, light switches, you name it – touch it! Buying a house is a huge expense so you need to learn how things work in the property from the get-go. If any problems do arise you can look at some cost-effective solutions.

4. Get a home inspection completed

You will want to ensure that the property is tip top. You can only tell so much from your own senses. Instruct a property surveyor to check not only your home but the home that you are looking to buy.

5. Take the internal house temperature

Sounds a bit crazy but check the temperature in the house. From that, you get a feel for what the utility bills could be like and whether you may need to invest more in the properties heating system. Your new house should feel cosy. Check the insulation in the roof. Again, this can reduce the monthly living costs and keep you comfortable in both the summer and winter.