Sustainability features can increase energy efficiency and reduce carbon. This can also reduce bills, which is why we have made our new build homes more eco friendly.
Read MoreAuthor: Robyn Wilson
Best Christmas Markets in London
Pocket is working harder than ever to help Londoners get onto the property ladder. We love this city, especially during the festive season.
In this blog, we’ve rounded up some of our favourite Christmas markets in London to get you into the holiday spirit. A few of these hidden gems take place in neighbourhoods our Pocket communities call home. You can visit our development page to see where we’ve built our first time buyer homes and how they’ve become thriving communities.
Add them to your list and start planning your winter outfits!
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Buying an affordable home in Croydon
Tom, a marketing analyst, and his partner Diane, who works in finance, moved into their first home together in April 2022 after viewing a Pocket Living apartment at Addiscombe Grove CR0 in East Croydon. They fell in love with its modern design, great transport links and reasonable starting price.
Here’s their story of how they were able to purchase an affordable home in Croydon.
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How to save for your first home
Saving for a deposit and maintaining your weekly brunch habit might seem mutually exclusive, but they don’t have to be. All it takes is a well-thought-out savings plan – one that works with your budget and lifestyle – to make your home-buying dream a reality.
You make this city, so you should get something back. A home you can call your own. Somewhere you can put your stamp on. That’s where we come in. We built Pocket Living around the idea that everyone should have a fair opportunity to get on the housing ladder, and we’re here to help you get there.
In this blog, we’re sharing our top tips on saving for your first home, whatever your circumstances. From ISAs to bank accounts and more, we’ll help you understand everything you need to know about saving. Let’s get started.
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Will mortgage rates go up or down?
Mortgage rates might not seem like the most interesting topic, but as a first time buyer, it’s important to understand what they are, what impacts them and how they could affect you.
At Pocket Living, we want to make sure you have all the information you need to make an informed decision about stepping onto the property ladder. So, in this guide, we’ll explore the base rate, the forecast for mortgage interest rates and what you should consider as a first time buyer before committing to a mortgage deal.
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The hidden costs of buying a flat in London – and how to keep them down
Buying your first home can be a bit of a minefield. From terminology to hidden costs, there’s a lot to get your head around.
In this blog, we’re delving into the expenses you can expect as a first-time buyer. This will give you an idea of how much you need to save alongside your deposit to purchase a Pocket home.
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Boost Your Borrowing Power with an Income Boost Guarantor Mortgage
An Income Boost is a little-known guarantor mortgage scheme that lets someone close to you – like a parent, sibling, or even a friend – help your application without giving (or lending) you money. Their income gets added to yours, so you can borrow more without upping your deposit. That extra boost could be the difference between “almost there” and “keys in hand.”
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The lesser-known buying scheme that could help boost your deposit!
Getting on the property ladder can feel like a daunting task for first-time buyers. With the average time to save a house deposit nearing 10 years (18 years in London), homeownership might sometimes feel out of reach. But with a Deposit Boost, you could make your dream of owning a home a reality sooner than you think.
A Deposit Boost is a type of buying scheme that allows loved ones like parents or grandparents to help give you a leg up on the property ladder, without needing to dip into their cash savings, investments, or pensions. Here’s how it works, some key benefits, and considerations to help you decide if it’s the right option for you.
Read MoreNew Commonhold White Paper: What Does It Mean For Leasehold Flats?
The UK government’s new Commonhold White Paper could mark a major shift in homeownership, aiming to replace the current leasehold system with the commonhold model. But what does this actually mean for flat owners and buyers? In this guide, we break down the key differences between leasehold and commonhold, what the proposed changes involve, and how they could impact future homeowners – including those buying Pocket homes.
What is a leasehold?
A leasehold is a common form of home ownership in the UK, where you buy the right to occupy a property for a set period of time. It’s typically used for flats or homes in shared buildings, where the land itself is owned by a freeholder (more on them in a bit).
Lease lengths vary, and properties with fewer than 80 years left on the lease are unlikely to qualify for a mortgage. To sell or remortgage, the lease would likely need to be extended. Thanks to the Leasehold and Freehold Reform Act 2024, new lease extensions now typically last 990 years.
Leasehold properties can be bought and sold on the open market, just like freehold homes. However, with all leasehold properties, there is an underlying freehold, owned by the freeholder – the person or company that owns the land the building sits on.
For older leasehold properties, leaseholders often pay ground rent to the freeholder – a fee that usually increases every 5-10 years. However, since the Leasehold Reform (Ground Rent) Act 2022, new leasehold homes now come with a peppercorn ground rent – a nominal fee, often just £1.
Leaseholders also pay a service charge towards the upkeep and maintenance of the building and communal areas. This covers things like:
- Buildings insurance
- Cleaning of shared spaces
- Communal electricity and heating
- Lift and security systems
- General maintenance of communal areas
Part of the service charge often goes into a reserve fund to cover future major works on the building.
(Just to clarify: this refers to long leasehold properties, which is different from a short-term tenancy agreement that most renters sign.)
What is a commonhold?
With commonhold, owners own the freehold of their individual unit.
As a commonhold owner, you would jointly own and be responsible for the communal areas, along with the other unit owners, through a commonhold association. This means contributing to the maintenance and upkeep costs, similar to how leaseholders pay a service charge. The commonhold association determines how much these costs will be, in line with legal requirements for residential buildings.
Some commonhold associations may choose to hire an external building manager, with the costs shared by the unit owners.
One key difference? No ground rent – commonhold owners own the freehold of their unit, so there’s no need to pay it. This is also true for newer leasehold homes, thanks to the 2022 ground rent reforms.
What happens now?
As it’s still early days, the government hasn’t yet outlined the full requirements that developers and landlords will need to follow once the legislation comes into force. So, we don’t know exactly how this will affect new-build homes going forward.
Once the law is in place, developers will need to comply with the new rules. However, given the scale of these changes, it’s likely to take several years before they are fully implemented.
Are Pocket homes leasehold?
Yes – all Pocket homes for sale are currently leasehold properties. Lease lengths vary across our developments, ranging from 125 years to 999 years.
Each Pocket development has a Residents Management Company (RMC), made up of all the owners. Once all residents have moved in, the RMC takes over responsibility for managing the communal areas – similar to how a commonhold association would operate.
The RMC also has a say in what is included in the service charge and works with external building managers to oversee the running of the common areas.
There are also some benefits to the leasehold system. For example, managing agents can enforce regulations that benefit all residents – such as preventing noise disturbances, which helps keep the peace for everyone.
6 realistic new year’s resolutions for first time buyers
Ah, the start of a new year – the perfect excuse for a fresh start, a new diary, and a long list of overly ambitious new year’s resolutions. But if 2024 is the year you’ve decided to trade in your rented digs for a place to call your own, we’ve got some realistic, first time buyer specific new year’s resolutions to help you get there. And don’t worry, these won’t involve kale smoothies or 5 a.m. wake up calls – just a bit of planning, saving, and savvy decision making.
1. Save a specific amount each month
Unfortunately, a home deposit doesn’t just appear magically. Work out how much you’ll need to save by your target move in date, and divide it by the number of months you’ve got until then. Then set up an automatic transfer to a savings account, preferably one with good interest. You could also consider a LISA to boost your savings. Tip: treat this as a non-negotiable bill, not something you’ll ‘get around to later.’
2. Know your credit score (and show it some love)
Your credit score is like your financial CV – make sure it’s on top form. Use a free credit report tool to check your score and look out for any errors. If it’s not quite where you’d like it to be, don’t panic. There are often small changes you can make which could make a big difference when it’s time to apply for a mortgage. Tip: We often work with Censeo Financial, an Independent Mortgage Advisor, and they recommend CheckMyFile to get a comprehensive view of your credit report.
3. Complete your Pocket Living affordability assessment
If you’re serious about buying a home (and let’s face it, you wouldn’t be reading this otherwise), your next step is to see what’s realistically within your reach. Complete an affordability assessment for the Pocket scheme you like the look of to find out what kind of mortgage you could qualify for.
4. Define your non-negotiables
Not every property will tick all the boxes. Start by identifying your top five must-haves (e.g., a location close to work or wfh space) and your deal-breakers (e.g., no outside space or too far from public transport). This will keep you focused during viewings and help you make confident decisions when the right property pops up.
5. Build your emergency fund
Even if you’re moving into a brand-new Pocket home, life’s little surprises don’t stop once you get the keys. Whether it’s unexpected repair costs or just making sure you’re not eating beans on toast every night after moving in, having a rainy-day fund will give you peace of mind. Aim for three to six months of essential expenses tucked away in an easy-access account.
6. Book a viewing and take the leap
Once you’ve got your finances and priorities in order, it’s time to take the next step: booking a viewing. With Pocket Living, you’ll get access to affordable, beautifully designed homes that are built specifically for London’s first time buyers. And who knows? Your perfect home might be waiting for you just around the corner.
Buying your first home doesn’t have to be overwhelming. With the right new year’s resolutions (and a bit of determination), you’ll be well on your way to unlocking the front door to your own place in 2025. So why not start now? Create your My Pocket account, complete your affordability assessment, and make this the year you leave renting behind for good.
Happy new year!