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10 First Time Buyer Benefits

17th February 2023

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If you’re buying a property for the first time it can seem like a daunting, not to mention expensive process. Without a property to sell first, there’s a lot of pressure on your savings, but the good news is that there are plenty of benefits to being in your position. From quicker purchase times to access government schemes, we reveal the best things about being a first-time buyer…

Who counts as a first time home buyer?

Certain schemes are only available to first time buyers, so you need to know if you qualify. Put simply, you are a first time buyer if you are:

  • A single person who has never owned a home anywhere in the world
  • A couple and neither of you has ever owned a home anywhere in the world.

Benefits to being a first time buyer

  1. Move out of Mum and Dad’s

If you’ve been living at the family home to save money, we’re sure you’re ready to get a place of your own. It’s finally the time!

  1. Stop wasting money on rent

If you are renting, are you fed up of handing over money that you’ll never see again? When you purchase your own property your money goes towards your own real, valuable asset.

  1. Faster buying process

As you don’t have to sell a property first, your buying process should be straightforward and much quicker.

  1. You are a preferred buyer

As you’re not part of a chain, you are an extremely appealing buyer to vendors and may get chosen ahead of other prospective buyers.

  1. Less Stamp Duty Tax

The government has introduced new Stamp Duty rules which seriously benefit first time buyers:

  • The value of the property on which you can claim relief has increased from £500,000 to £625,000.
  • If you’re buying a home worth £625,000 or less, you won’t pay Stamp Duty on the first £425,000 (up from the previous £300,000 threshold).
  • Note than if you purchase a property worth more than £625,000 then all normal Stamp Duty rates apply.
  1. Supercharge your savings!

If you opened a Help to Buy ISA before the end of Nov. 2019, you can still use it for a deposit if you buy before Dec. 2030. This will give you a bonus 25% on top of your savings.

A Lifetime Individual Savings Account (LISA) is another way to save up to an additional tax free £1000 per year which can be used to buy a first home.

  1. Government help

The government are keen to help first time home buyers and offer many schemes… but you need to know about them! Here are a few to consider:

  • Lifetime Individual Savings Account (LISA)
  • Part ownership
  • The First Homes Scheme
  • Rent to Buy tenancies
  1. Mortgage deals

There are special deals available when buying homes for first time buyer. One example is the mortgage guarantee scheme offering 95% loan-to-value mortgages. This scheme opens up home ownership to those without large deposits (although the scheme is due to end soon).

  1. Own your dream home

One major benefit of being a first time buyer is that you will finally own your very own place. You’ve probably been dreaming of this moment since childhood and it’s an extremely exciting time – enjoy it!

  1. Rent-free future

You can start looking forward to completely ‘rent’-free living once your mortgage is paid off.

Homes for first time buyer

If you’re in the market for first time buyer houses, then we are here to help. At Charters, we have years of experience helping people get onto the property ladder and, as local estate agents, we know exactly what’s out there right now.

Approaching the market as a first time buyer can be daunting but there are plenty of options. Allow us to be your guide.

You can search for properties for sale here.

Get in touch

There are no silly questions as a first time buyer. You’ve never done this before so certainly can’t be expected to understand the process at this stage! Our friendly, knowledgeable team are happy to answer all your questions and help you at every step.

Hopefully, this guide to first time buyer benefits has shown you some of the great things about being in your position. Please get in touch to ask any questions or enquire about our range of first time buyer houses including new builds.

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