July 8, 2009
Borrowers Still Dreaming
Many Brits now prefer to 'window shop' when it comes to property rather than actually diving in and taking out an affordable mortgage.
A poll by housing portal Propertylive.co.uk found that a fifth of potential home buyers look only at properties they cannot afford when searching for a new home on the Internet. And 47% says they cannot resist the temptation of nosing around properties that are out of their price range – so some people go as far to pretend to estate agents that they are genuinely interested in a property. Amazingly, more than half of those polled admitted to looking at dream properties just in case they win the lottery – only 8% of people told the website that they were happy with their home.
If you are looking at mansions and dreaming of those millions then it might be time to come back down to earth. Just because you haven't got the money for that 10-bed country house doesn't mean there aren't great opportunities out there for you. House prices have fallen rapidly over the last 12 months, and mortgage rates are as cheap as they have ever been thanks to the low rate environment. This means you can afford a home – just maybe a home with a few less bedrooms.
So talk to a mortgage broker today about your budget. One of the problems that led to the credit crunch was that people lived beyond their means and dreamed a little too often. Now, in this post-credit crunch world, it's time to face reality and make sensible, affordable decisions when it comes to property and mortgages.
SOURCE: Propertylive.co.uk, 03/07/09
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