Carol Henderson. conveyancer at Warners Solicitors in Edinburgh, believes that getting your solicitor involved earlier leads to better service. Word of mouth is still the best way to
find a solicitor. though gathering a couple of
quotes by phone is a good way to start. According to Henderson, an old-fashioned face- to-face meeting allows you both to get a feel for expectations.
‘A solicitor can give you lots of advice before you even start and can tell you what price certain streets are expected to go for so that you can really target your search,’ explains Henderson. who also believes that people should view as many flats as possible to get to know the market. ‘Then you can be confident when you find a property you like that you‘re making the right choice’.
Of course, before making that choice you need
to have your finance in place. The heady days of
l 10% mortgages are over. she says. The number of lenders offering 100% mortgages has decreased substantially in the last six months. with only a handful now offering the service in Scotland. and rates and fees for many products are still relatively high despite interest rate cuts.
Kirsty Baird. financial advisor with Warde Graham Consulting in Glasgow. stresses the importance of sticking to a realistic budget in the current economic climate. ‘The credit crunch has serious implications for first time buyers. who often have little or no deposit. and are working on a tight budget.’ Baird has also seen companies tighten their lending criteria. ‘I come across quite a few first time buyers who are declined for high percentage mainstream mortgage deals as a result of a few minor “adverse” credit issues. such as late credit card. loan or mobile phone payments.”
Rather than be tempted to jump into alternative deals with companies willing to borrow the money at higher rates, she advises taking some time to work on your credit history before
getting into the property market. And even for those with a good credit rating. waiting until you can save up even a 5% deposit can open up a far wider range of value for money mortgages. Once you‘re ready to take the leap. realism is essential. ‘Many lenders now base decisions on ‘affordability‘. considering your monthly income and payments to credit commitments. so a full budget plan is essential.’ she says.
or many. the whole process can become incredibly trying. ln surveys. moving house repeatedly appears in the top ten most stressful events in life. ‘I found it really tough at times.‘ says 31-year-old Grace Cuthbert who bought a flat in Glasgow‘s Govanhill three years ago with her boyfriend. ‘It was difficult to get time off work to do viewings so I was always rushing around. I worried about money and our mortgage being accepted and then there was the disappointment every time we failed to have our offer accepted. lt sort of took over my life.‘
Dr Cynthia McVey. a lecturer in psychology at
‘TENACITY, DETERMINATION, CREATIVE THINKING AND AN OPEN MIND CAN ALL HELP YOU FIND YOUR DREAM HOME'
Glasgow Caledonian University. suggests problem-focussed coping for potential buyers — facing up to the reality and looking for practical solutions. from finding an investor to considering a different location or smaller property. Secondly. deal with the emotional factors and talk to friends or family for support. Above all. McVey advises. keep things in perspective and don’t be tempted to pay over the odds. Think instead. she suggests. of looking for a new home as an exciting challenge.
Thinking creatively can be one approach and moving away from the mainstream market and tired old round of estate agents can be inspiring. If you’re fed-up of tenements. then lots of quirkier properties - from railway cottages and old signal boxes to telephone exchanges — can be found at property auctions and if you’re prepared for the hard work and the budget needed for conversion it can be a rewarding way of finding an extra special home. Repossessions also regularly hit the auctioneers’ books and the need for a quick sale means prices are usually below average.
Shaun Vigers. director of SVA Property Auctions. says that if you are canny. you could still snap up a bargain. He advises sitting in on auctions first to see how they work. Finance needs to be in place before you bid and you should always view the property thoroughly and have a solicitor look over the deeds.
If the pace seems off- putting. the Scottish Civil Trust‘s Buildings At Risk register is another option, which Terry Levinthal. trust director. insists offers huge scope. This is where ‘sweat equity“ and personal )
Reluctant to hand over a wad of cash to an estate agent, a growing number of people are taking matters into their own hands and buying and selling their properties online
A survey by online listings company Gumtree found that nine out of ten people do not think estate agents justify their high fees, while 40% told the Office of Fair Trading they offer poor value for money. So the recent explosion of people deciding to take a do-it-yourself approach to selling their home is perhaps not surprising. With agents typically charging between 1- 2% on sales (over £2000 on the sale
24 THE LIST 8—22 May 2008
of an average home in Scotland) the appeal is obvious. Recently a myriad of websites where the self-seller can advertise for a small fee have sprung up. Gumtreecom has reperted that listings for property sales have doubled in less than a year. while online estate agents. with much lower charges. are also emerging.
Following a bad experience with an estate agent, Maureen Paterson from Edinburgh decided to go it alone. She registered her southside flat with houseladdercouk, whose £119 package includes an advert with 12 photos, which it claims can be accessed by over three million people on their partner sites. Meanwhile putting a board outside your home costs £30.
For Paterson, the major appeal was that it put her in control. ‘My previous estate agent was also sharing information with the seller and I didn't see why I should pay such high fees if that was the case.‘ Self selling is definitely something Paterson would
encourage other people to do. ‘The internet has changed everything,’ she says. ‘Fewer and fewer people will be prepared to pay estate agent fees.’
Property consultant and author Kate Faulkner says: ‘The tremendous benefit of selling your property yourself is saving on fees. It also means you have more control over how the sale is managed.’ As eight out of ten buyers start their search online it also makes sense. However, Faulkner advises thinking carefully about how much work is involved. Accept that as sole contact, you will have to make yourself available at all times. ‘People will always politely tell you your home is lovely, whereas they might be more upfront with an agent about what they think is wrong, allowing you to change it. Alternatively, they might tell you your home is horrible because they are hoping for a better price.’
A good compromise is to agree with an agent to use a sell-it-yourself site in conjunction with agency services,
avoiding fees if you get the sale first, though you may have to agree a higher fee if the agency finds a buyer more quickly. If you do opt to use an agent, make sure you take control. “Always try to negotiate,’ says Faulkner. ‘lf you receive differing evaluations, make sure they can prove they have sold comparable properties in that price bracket within six weeks.’ One approach may be to offer to pay commission on a sliding scale with one rate up to the minimum offer you’d accept, and a higher rate thereafter. ‘Estate agents are top negotiators,’ she says. ‘That's their job. Use it to your advantage.’
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