How old is the average First Time Buyer?

Man thinking about a houseI heard the other day that the average age of the First Time Buyer is now 39, and it grabbed my attention, spurring me on to tell more people about Property RentBuy.

Property RentBuy is a way forward for people to own their own home by renting it first, knowing it will become theirs when they’ve bought the property in the future.

This is very similar to buying a house on a mortgage – you pay each month until one day it’s paid off and becomes totally yours.

Buy to Rent properties are becoming more popular as more people find out about how it all works.

The idea is that you agree a price in today’s market for the property being offered to you on the Rent to Own offer, and then rent it until the point in the future when you can buy it for that price with your own mortgage, and having the ownership then transferred to you.

More affordable

A big benefit of houses for Rent to Buy is that no huge deposits are required up front – typically a mortgage would require, at the time of writing, between 15%-40% so for a £100,000 an average deposit could be £25,000.

A Rent to Buy house has an upfront fee of usually around £5,000, so is much more affordable, and then a monthly rent which will vary dependent on the type and size of property that you have chosen.

Attractive proposition

There is a big difference in mind-set between renting a property and buying one.

Psychologically we tend to look after something that belongs to us, as opposed to not being ours.

It’s a generalisation to say that a property is worse at the end of a tenancy than it was at the beginning; however, you probably get my point that given the incentive to look after the home better, you will.

For this reason a RentBuy property is a very attractive proposition.

Remember, the price you can buy it for is agreed at the start of the contract and so this means that if you do look after the place and enhance it, you are increasing your equity on the home.

It is possible to gain enough equity to qualify to be used as a deposit for your mortgage.

Renting is wasted money

I’m convinced that when more people – who feel that renting is just wasted money – find out about and understand how a RentBuy home can benefit them, more First Time Buyers will get onto the property ladder in this way.

Andy Haynes is a partner with Property-Here who offer Property RentBuy and they can be contacted via email or by calling 07783 554 115 (24 hour) and leaving a message clearly, including your name and a contact number (please repeat your contact number).

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