Help to Buy ISA will end on 30 Nov. 2019

Getting into the UK property market as a first time buyer can be daunting and very difficult, especially saving for deposit as average UK property prices and living expenses are expensive.

If you’re dreaming about buying your first home and your are over the age of 16, the Help to Buy ISA could be the savings account for you. It lets you save tax-free, gives you instant access to your cash, pays a competitive interest rate, and when you buy your first home you can claim a 25% government bonus on amounts saved between £1,600 and £12,000.mortgage-imagery-homes-made-from-twenty-pound-notesYou can only open a Help to Buy: ISA until 30 November 2019. After this date, the account will not be open to new savers, as the government is closing the scheme.

Even if you’re not planning on buying any time soon, or are unsure of your future plans, you can still open a Help to Buy: ISA with as little as £1 today, and continue saving into the account up until 30 November 2029. The government will boost your savings when you buy your first home up until 1 December 2030.

You can earn a competitive interest rate which will help your savings grow – up to 2.58% AER per year/2.55% or more tax-free per year variable depending on the bank or financial institution current interest rate available.. You can pay in up to £1,200 in the first calendar month, then up to £200 per calendar month afterwards.

Because it’s an ISA, interest paid on the account will be tax-free – just remember you can only pay into one cash ISA per tax year.

Thinking of buying a property?

Need help with property investment in the UK from start to finish, Please Contact me

Dennis Bebo – MSC, BSC, DEA, CeMAP

TA DenEco Consultancy – www.deneco.co.uk

 

I am a First Time Buyer. How do I choose the best Mortgage?

As a first time buyer, the property market and process can be very complicated and stressful. To most this might be the biggest purchase or investment they will have to make in their life, so getting it right is very important to avoid unnecessary risk and costly consequences.

The aim of this article is to make you understand the basics of mortgage as a first time buyer and how to get the best mortgage that meets your need and financial circumstance.

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We will start with knowing what is a mortgage and the basic requirement for a mortgage application.

What is a Mortgage?

In basic terms, you take out a mortgage from a mortgage lender as a long term loan to make payments on a property.

The mortgage lender has the option of taking possession of the property and selling it on if the mortgage repayments aren’t made. This is so that the lender doesn’t lose money as they would be making it back from the property sale.
Any time you take out a mortgage, the loan is then split into two aspects. One of which is the interest , which is what the lender charges for lending the money. The other is the capital, which is the actual amount of money used to purchase the property.

How much can you borrow?

The actual amount you’re eligible to borrow will be determined by the cost of the property you wish to purchase and by how much money you make.

As a first time buyer, you can borrow up to 95% of the property value. It is advisable to have more percentage deposit if affordable to get the best rates available. Also there are considerable amount of fees to pay during and before completion.

There are even some lenders that will go to 100% – however more often than not, you will be made to pay over the odds for this and will most likely be made to purchase mortgage indemnity insurance in addition.mortgage-imagery-homes-made-from-twenty-pound-notesThere are some that will, in rare cases, lend over the 100% mark, although there will be circumstantial rules that must apply.

There is a general rule of thumb that you can borrow around three and a half times the amount you earn annually. The actual figures differ between different mortgage lenders.

A little secret: If you have a good credit history and a regular income then you are quite likely to be offered the finance relatively easily.

How to get the best UK Mortgage as a first time buyer?

Well it depends on your need and financial situation. As a first time buyer, you are likely to have some particular requirements.

You will probably have a very small deposit or possibly no deposit at all.

You may be having to push your budget to the limit just to afford a mortgage, but are determined to get a foot on the property ladder.

One thing that applies to almost all types of UK mortgage is whether you should choose a  fixed rate mortgage or one with a variable interest rate.

The best choice depends on your own circumstances and to an extent on interest rate levels at the time, but things to consider are:

  • Can you afford to have your payments go up each month? This could happen with a variable rate mortgage.
  • Are rates generally low at the moment? It could be a good time to get tied into a fixed rate mortgage.
  • Do you want the security of a fixed monthly payment for several years? Fixed rate periods from 1 – 10 years are available.
  • Are you having difficulty borrowing enough money? An interest only mortgage can mean lower monthly repayments ie you can borrow more against your salary. But there are drawbacks.

For property investment in the UK from start to finish, Please Contact me

Dennis Bebo – MSC, BSC, DEA, CeMAP

TA DenEco Consultancy – www.deneco.co.uk

 

 

Buying a property in the UK as a foreigner

As a foreigner you can buy property in the UK, even if you do not live in the UK.

That said, buying property in the UK as a foreigner is easier if you are a cash buyer – i.e. do not need to apply for a mortgage or additional borrowing as it may be difficult to apply for such a mortgage.

Therefore, if you are looking to buy a property, it is important that you have a full understanding of the UK property market and have access to funds. I am able to provide my professional service to help you from start to finish.

It is also important to remember that, while the pound exchange rate is currently unstable due to Brexit, property prices in the UK are still comparatively high, depending on the area.

However, if you can afford to buy a property outright, yields from rental income can be high, while property prices tend to rise.

It is not yet known quite how Brexit (the UK’s exit from the EU) will affect overseas buyers of UK property, or house prices in general, and we are also aware that the UK Government has plans to introduce an additional tax for foreigners buying property in the UK.
Presently to buy a property in the UK, you have to consider the following;
Your budget price range – How much you can afford to pay.
Property location – Where are you looking to buy as prices can be significantly high in London area compare to other parts of UK
Proof of Identify and Financial Income – This is very important for the property transaction to be successful and will include the following; Name(s) and address(es) of buyer(s), Nationality and residential status, Occupation and nature of employment (Employed or self employed), Employer’s name and address, Length of time in current employment, Income details (usually three years).
Property transaction taxes – This is called Stamp duty land tax (England and Northern Ireland).  For 2018/2019 rates for buy to let and second property which is most likely to be in the case of a foreign buyer £40k – £125K is 3% rate, £125K – £250K is 5% rate, £250k – £925K is 8% rate, etc.
Property purchase completion – A Solicitor or licensed conveyancer is required to process and complete all legal requirement for the house purchase. A conveyancing fee and disbursement is paid by the buyer. Solicitor may ask the buyer to deposit a sum of money at the start of the process to cover for the disbursement (Stamp duty land tax, property registration fees, searches etc) as they arise.
Property Insurance and Council Tax – Annual property insurance and council tax are required by law.
For more information and for my service in actualising your UK property purchase, do not hesitate to contact me.
By
Dennis Bebo TA DenEco Consultancy

How to be Debt Free

Majority of us have debts which range in various degree, size and complexity. The most important thing about debt is how it is managed and the effect it has on our general wellbeing. This short article is about the most effective and affordable way to manage your debt and thereby being debt free in no time.

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REVIEW YOUR DEBT

The starting point is to have a comprehensive review of your total debt in a simple format that provide an overview of all your creditors and the amounts you owe. The total amount of debt and interest paid on each of the debts is very important to place priority to the sequence and affordable amount to payable. The best option is to have a debt payment plan bases on affordability and priority with categories such as non-negotiable, large amount, high interest, negotiable, small amount, low interest etc.

 

REVIEW YOUR INCOME AND EXPENDITURE

It is very important to review your income and expenditure with the aim of increasing your disposable income. There are several ways of doing that which will be a topic on its own. Our focus here is to maximise income and minimise expenditures as much as possible to have the much needed disposable income to manage debt effectively.

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TALK TO YOUR CREDITOR

Always let your creditor know as soon as possible if you are struggling or aware of a situation that will affect you making payment. Using your payment plan call all your creditors to negotiate an affordable amount and frequency of payment you can maintain. Most creditors will work with you to set an affordable minimum payment plan as long as possible.

 

REGULAR REVIEW OF PAYMENT PLAN

Once you have been able to set affordable payment plan with all your creditors, it is even more important to maintain and review your payment plan regularly to aim at making affordable adjustment where necessary to clear off your debt as soon as possible. Also don’t forget to seek financial help and advice either free or paid.

Please commend and let me know if you need further advice on the above,  Property investment, Energy and more

Written by

Dennis Bebo MSC, BSC, DEA, CeMAP

3 Major Nigeria Economic Paradox: A systematic success in failure.

As a Nigerian residing in the UK over 10 years, born, grew up and had my university education in Nigeria plus have economic and working experience and knowledge in both Nigeria and the UK believe strongly that the economic situation in Nigeria is a paradox created by a systematic success in the act of supporting or benefiting from  a failed system directly or indirectly. I will try and use this short article to highlight 3 major Nigeria Economic Paradox that is of common and general knowledge which must be address to achieve sustainable economic development in Nigeria.

  1. Self allocation, review and audit of salary, allowance and pension

It is beyond comprehension why the Nigeria system of government in every level allows or gives those in leadership position the power to self allocate, review and audit their salary, allowance and pension with no independent accountability procedures or measures. This has resulted in local, state and federal  politicians, legislators and executives to systematically in every opportunity self allocate, review and audit their salary, allowance and pension upwardly, falsely and unjustifiably. The result is a paradox of government where the civil service which is the functional aspect of government that suppose to manage and account for public service and public funds has been deliberately made dysfunctional by elected government leaders for selfish interest. The economy as a result is greatly affected negatively.

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2. Conflict of interest in contract allocation, project funding, job recruitment

It has become common and acceptable for both appointed and elected government leaders to give contract, fund projects or give jobs to themselves, their family members, friends and business partners with little or no concern for competency and accountability. The result is inefficiency,  looting and embezzlement of public funds which impacts on the economy negatively.

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3. Lack of supply in the midst of abundance

With the abundance of oil and gas, river, land and people in Nigeria; the lack of petroleum products, electricity, cooking gas, drinking water, food products and employment is one of the most unexplainable paradox in Nigeria. There is abundance raw material, resources and people for Nigeria to be one of the most successful, self sufficient and sustainable economy in the world but yet is among the poorest nations in the world.

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The solution of the 3 major paradox highlighted above is a collective responsibility of the leaders and citizens of Nigeria to use all legitimate resources and powers to promote, support and establish a system that works for all not the elite few that has successfully made a once great economy giant of African and a world potential great nation to its worst economic state ever.

Written By Dennis Bebo; Environmental and Energy consultant – DenEco Services TA www.DenEco.co.uk

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2016 “Year of the underdogs”

As we come to the end of 2016, we will ever remember this year as the year of the underdogs marked by the failure of the so call experts, incumbent governments and elites to get anything right or succeed in convincing the general public in their prediction and politics.

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Here are the 3 most remarkable events that will be remembered for generation to come and will change the future as we know it today.

  1. May 2016 – Leicester City  win English Premier League trophy

Leicester City’s 2016 Premier League triumph was one of the biggest shocks in sporting history. They were able to come from a betting odd of 5000 to 1 in the beginning of last season to win, surprising even themselves. They were relatively unknown, the underdogs that no team they played or anyone that knows football took serious until it was too late. They had the believe when no one did, the system that everyone taught was luck and the determination, energy and resilience that was beyond understanding. They were able to come up with an unpredictability that enable them to win with 10 points ahead of teams that are way ahead in finance, structure, systems etc.

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2. June 2016 – Brexit: British Public Voted to leave the EU

Brexit was another event that will ever be remembered as it was a public revolt against the establishment. The underdogs going toe to toe with the high and mighty. The U.K. voted to leave the European Union generated a sense of shock after opinion polls suggested voters would reject a Brexit.

Stock markets in London and Europe sold off sharply as they opened, with British bank shutterstock_440352301shares taking a particular hit. At one point, the pound hit its lowest level since the 1980s.

British Prime Minister David Cameron announced he will step down Friday morning, saying the negotiations for withdrawal from the EU should be carried out by a new leader. His replacement Teresa May was expected to be selected by October.

“The will of the people to leave the EU must be respected,” British Prime Minister David Cameron said in a statement Friday. “We must now prepare for a negotiation with the European Union.”

This will definitely shape the future of the UK, Europe and the world at large politically, socially and economically.

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3. November 2016 – Donald Trump wins US Election

In the beginning of Trump campaign no one took him serious, we all taught it was a media promotion move to promote his business interest. Donald Trump’s transition from primary flame-thrower to general-election standard bearer was marked by controversy. He knew what no one knew or taught will never work, how to use present himself as the underdog and use the underdogs to defeat the establishment. This he did by using the very issues that regular politicians will never dream of using such as racism, feminism, protectionism, religion etc

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Video of Major events of 2016

As we enter into 2017 and beyond, the 3 above events in 2016 will forever change the world but lets us to forget that the common factor is that; “Never underestimate yourself talk of anyone else because doing so is to your own detriment“.

 

You can also enjoy the success of being an underdog by saving money, energy and the environment with DenEco.co.uk

By Dennis Bebo

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3 easy ways to save money for the things you need or want

There are lots of things that we need to do to enable us  achieve our dreams of being successful and fulfilled in life. There is a different from what you want and what you need and it takes wisdom and understanding to differentiate the two and when to go from one to the other. A need is a requirement for survival, e.g. breathable air, food, shelter etc. A want is a desire. It may be the desire for a need (e.g. a choking person generally wants to be able to breath) or for something not needed for survival, such as chocolate or a new car.

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Below are the 3 easy ways to save for what you need or want

  1. Reduce

There are various things you have to reduce such as time, waste, energy etc that will save you money and cost you less. It is easy to start from the basic and small things you can mostly control and quantify like food, clothes, energy and then with time it will grow and multiply to significant savings to will enable you meet your every needs and essential wants.

Save money on UK home and business energy with DenEco.co.uk

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2.  Reuse

There are things that  need using again, whether for its original purpose or to fulfil a different function. It is in doing so that you can get the worth of that thing. Reuse helps save time, money, energy, and resources. In broader economic terms, it can make quality products available to people and organizations with limited means, while generating savings and opportunities that contribute to the economy in a sustainable way.

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3. Recycle

To save for what you need or want you can recycle the things you have. Recycling is the process of converting old/waste materials into reusable materials and objects. It is an alternative to “conventional” waste disposal that can save material and help lower greenhouse gas emissions. Recycling can prevent the waste of potentially useful materials and reduce the consumption of fresh raw materials, thereby reducing: energy usage, air pollution and water pollution.

To start saving for you needs and wants go green with DenEco Services
Helping you save money and the environment on energy, heating & eco solutions
www.deneco.co.uk