what are advantages to being a first time buyer?

wallofbeans

Hi All,

So my partner and I will be moving house but possibly not for a few years. She owns the house we are living in and is the only person on the deeds. We have been talking about adding me to the deeds as I have been living in the house almost as long as her and always helped to pay the mortgage, but never officially.

I have never owned a house so when we move I could buy a property as a first time buyer. What are the advantages to doing that? And is it worth me holding out on having my name added to the deeds of the current property to do that?

Thanks for the advice.

dc197

Sellers often prefer FTBs because it means the chain is far shorter.
You can get various government and local incentives to help with your finances.

However in your situation, buying with your partner, you as a couple would not be considered FTBs. You have a house to sell.

davidmcn

The only advantage of your current situation I can think of is that if you wanted to buy a second property, you could put it in your sole name without incurring the additional rate of stamp duty (assuming you and your partner don't get married).

wallofbeans

dc197 wrote: »

Sellers often prefer FTBs because it means the chain is far shorter.
You can get various government and local incentives to help with your finances.

However in your situation, buying with your partner, you as a couple would not be considered FTBs. You have a house to sell.

Does that mean I get a better mortgage rate as a first time buyer? I thought that might be the case but having never done it before I'm not sure. I wonder what other incentives there are? And how helpful are they?

And strictly speaking, she has a house to sell. I do not. So if we bought as a couple we wouldn't be first time buyers (because she has a house) but if I was buying on my own then I would be a first time buyer, right? Even if she then came and lived in my house.

wallofbeans

davidmcn wrote: »

The only advantage of your current situation I can think of is that if you wanted to buy a second property, you could put it in your sole name without incurring the additional rate of stamp duty (assuming you and your partner don't get married).

We are already married. Does this mean there are no advantages?

jimpix12

wallofbeans wrote: »

We are already married. Does this mean there are no advantages?

Are you keeping a record of your payments towards the existing house? I would. Not that it will count for much should things go awry as you're of the incorrect gender.

wallofbeans

spunko2010 wrote: »

Are you keeping a record of your payments towards the existing house? I would. Not that it will count for much should things go awry as you're of the incorrect gender.

Thanks for that. Hopefully we have it covered!

davidmcn

wallofbeans wrote: »

We are already married. Does this mean there are no advantages?

Correct, as far as the additional property surcharge is concerned, married couples are treated as one unit.

wallofbeans

davidmcn wrote: »

Correct, as far as the additional property surcharge is concerned, married couples are treated as one unit.

But are we treated as one unit if I wanted to take advantage of any other first time buyer incentives?

Id so, then I might as well be on the deeds of the current property.

davidmcn

wallofbeans wrote: »

But are we treated as one unit if I wanted to take advantage of any other first time buyer incentives?

Not sure how you would get any. If you're buying as a couple then you're not first time buyers. If you buy your next house in your sole name then maybe, but if your spouse is with you then most mortgage lenders would expect you both to be on the title and mortgage.

iantojones40

These FTB "incentives" you refer to are actually nothing more than schemes to enable people to incur even greater levels of debt in order to pay over inflated prices, especially for new builds, so that the great property bubble (and developers profits) can remain inflated.