Over our many years helping people find their new homes, we have sometimes experienced the ‘stepping stone’ situation.
This is where people start off with their hearts set on a particular type or size of house and/or a location they don’t want to compromise on. Unfortunately, their budget may not always match up to their expectations. We therefore suggest a property that might work for them in the interim and suggest they see it as a ‘stepping stone’ to their dream home. So long as the property they buy now is one they can either add value to or has the ‘desirability factor’ for when they come to resell and is in a sought after location or good school catchment, they shouldn’t go far wrong. Of course it is always going to depend on the market when you come to sell and trade up to that next property, however whatever is happening with prices at that time should also be reflected in the property you want to buy.
I remember one of my first sales back in the early 90’s in Fulham was a one bedroom ground floor flat off the Munster Road to a first time buyer. He told me that one day he wanted a ‘Lion’ house in the Peterborough Estate. These were, and still remain the most expensive houses in the heart of Parsons Green. Two years later we sold the flat and he traded up to a two bedroom maisonette, five years after that we sold the maisonette and he traded up to a small three bedroom house but in a sought after street. Four years later he finally got his dream home, albeit a wreck that needed completely refurbishing! Of course, the market was very different back then and prices rose quickly which enabled him to move over those stepping stones in a relatively short space of time from where he started.
Have you ever had to do this to achieve your forever home?