Finance Fox

Money Saving Tips

Unexpected Ways to Save Money on a House

September 10, 2014 by lucas in Money Saving Tips, Savings

Buying a house isn’t easy and for many people it’s not possible. But if you think you’ll never be able to buy a house or are looking to buy one for less, there are things you can do. Many people have heard of the Government’s Help to Buy scheme or shared ownership schemes, but they aren’t the only ways to save money on a house. There are several factors that could change how much you pay for a house, from where and how you buy it to the location and size. For example, you can buy a house at auction or compromise on the location you move to in order to save money.

Buy at Auction

Buying a house at auction could get you a property for a very low price. Properties sold at auction are usually ones that couldn’t sell on the open market, which means they usually need some doing up. This is great for a cheap home, but it does mean you need to be able to renovate it. If you have the skills to fix up a house then buying at auction is a great idea, but you’ll need to make sure you factor the cost of the renovations into the price of the house. There’s no point buying a cheap house if you then spend so much on renovating that it wasn’t worth it.

Buy With Others

If you want to own your home but don’t necessarily want to live alone, you can buy with friends, a family member or a partner. It makes buying less of a financial commitment, and you have someone to share the burden with. Mortgage lenders will look at your more favourably when you have double the income and savings to pool together. When you buy with someone else, you could both be equally responsible for paying the mortgage or you could be responsible for your respective halves.

Compromise On Location

You might have your heart set on Bridgfords detached houses. But sometimes going five minutes down the road makes little difference to the neighbourhood and a big difference to the price. Sometimes house prices are built on the area’s reputation, and there could be somewhere close by that’s just as good, but not as respected. Up and coming areas are great for buying a cheap house. It may not be perfect when you move in, but a few years down the line you’ll find that the area has grown and transformed.

Compromise On Size

Size is another factor that you could compromise on. Perhaps you want to start a family in the future, so you’re looking for a three or four bed house. But it might make more sense to buy a smaller house now and worry about extra bedrooms when you’re thinking more seriously about a family. You might also decide that you don’t need a dining room or settle for one bathroom instead of two. Houses with gardens will be more expensive too, and buying a flat or bungalow instead of a house will also save you money.

14456625128_d43745aaeb_zTrish Hartmann