A recent survey by Aviva has shown that many UK homeowners are under budgeting when looking to purchase their first home. This research comes at a time when first-time buyer house prices are soaring, with recent figures from haart showing a rise of 10% in first-time buyer house prices within the last 12 months.
After surveying 2,000 UK homeowners, 70% of first-time buyers were found to underestimate the total costs of getting on to the property ladder. The survey also revealed that the average first-time buyer under-budgets by £6,481 (see table below) when buying their first house, with three-quarters admitting to not doing enough research in to the costs of buying a home.
(Housebuying: Budget vs. Actual spend)
The survey highlights the importance of budgeting as a first-time buyer as well as the need to carry out more research in to the various costs of buying a home. On average, homeowners fork out around £1,680 more than expected on essential repairs to their newly purchased home. Aviva has a handy checklist to help buyers avoid unforeseen repairs and to further assist in the house viewing process.
Do you have any tips for first-time buyers budgeting for their first home? Tweet us @haart_uk.