Shop Smart for a Million Pound Property
Think that dream home on Millionaire’s Row is out of reach? With falling prices and great mortgage deals, perhaps you should think again.
Securing that dream home is something we all think about from time to time. Exactly what it looks like is a matter of personal taste. It could be a country property set in acres of land miles from anywhere, a modern detached home in an affluent suburb or even a penthouse apartment with views across London or Manchester.
For too many, however, the dream home remains just that – a dream. Making it happen is as much a matter of timing as anything else, and 2019 could be the best year yet. With lenders offering attractive deals on large mortgages, and higher end properties seeing falling prices amid Brexit uncertainty, it might even be a case of now or never.
Understand your budget
In years gone by, it was a simple case of see how much capital is in the bank for a deposit, multiply your annual household income by three to see how much you can afford for a mortgage and add the two together. Today, the mortgage market is more mature and complex, particularly where large mortgages are concerned.
Does the increase in 900,000 pound mortgages mean that there are suddenly more people out there with £300,000 household incomes? Not at all. It is simply a case that specialist brokers are working with both lenders and borrowers to make larger mortgages affordable by looking at factors such as the loan term, the interest rate and alternative funding options.
In other words, large mortgages are far more bespoke than you might think. It is no longer a case of plugging three or four metrics into a calculator. The broker will sit down with you to craft a mortgage deal with the right lender that is the perfect fit for your personal circumstances.
Luxury city life getting more affordable
In London, prices have been on a downward trajectory over the past 12 months and have already dropped further in the first weeks of 2019. It is a pattern that is set to continue, with a two percent fall predicted over the course of the year. However, for high end properties, the effect will be even greater.
Penthouse properties in desirable locations like Christopher Court in Aldgate that were changing hands at around £1.5 million are now being offered closer to £1.2 million, and prices continue to fall. It’s a buyer’s market in the city, so get your finances together and make an offer!
A slice of country living
For the growing number of people who can work remotely, the idea might be to get as far away from the city as possible, however. For previous generations, a place out in the country was something to consider for retirement, but today, we live far more flexible lives. If you like the idea of being Lord of the Manor, how about this imposing five-bedroom property in Aberdeenshire that was recently the subject of a Country Life feature? It is set in 30 acres of land, and even includes a self-contained two bedroom flat. It’s a lot of house for just a little over a million pounds!