​4 Tips For Young People Hoping to Get On The Property Ladder

I’m well-known among my circle of friends as “the property mogul”. It’s a bit of an in-joke, but I’m also the first person people go to for advice when it comes to getting on the property ladder. The consensus when it comes to young people is that there is very little chance of many of us making it on the property ladder, let alone investing in property. No one wants to hear about how they should move back home and So what’s a young person to do if they ever want to buck this trend? Here are four pieces of advice I give to my friends wanting to get on the property ladder.

Save Money

This is the most obvious one, but a lot of people just don’t see how this correlates. If you don’t have rich parents, you’re unlikely to have a lump sum land in your lap any time soon, so it’s up to you. Start getting strict with your spending and you’ll soon realise you can save a fair bit of money. It’s all about the small decisions you make every day: should I take a sandwich to work or buy my lunch? Should I buy a new pair of shoes or can I find a cheaper pair? When you start saving small amounts of money every day, it quickly adds up to a sizeable sum.

Be realistic

Your first home may not be the mansion you dreamed of, but if you really want to get on the property ladder you will have to be realistic about what you can afford. Stick to something well within your budget and this will mean your monthly mortgage payments will be much lower. This will free up more of your budget to continue saving and then you can invest in a larger house further down the line.

Get clued up

Understanding the process is essential to ensuring you don’t get stung by unexpected fees. Depending on where you are in the world, the process may differ, so be careful when looking to the internet for advice. In the US, the process may differ by state, and in the UK, there are extra things like conveyancing solicitors to think about. In the end, if you do your research, you could save some money which might give you more options.

Look for government schemes

There are the obvious schemes, but there may be less obvious schemes offered by your local government. This might include help-to-buy schemes or help with saving for a deposit. Ask your bank if they can offer any assistance, and finally, check if you are eligible for any grants to help with your costs.