Buying your first home can be a pretty daunting experience. Luckily, you’ve come to the right place. Here are our top tips for First Home Buyers!
1 | Speak to a broker
Before you get too far down the process and get your hopes up, have a chat to a broker and find out just how much money you can spend. By doing this, you can get some clarity and make sure you search in the right places. The last thing you want is to make some assumptions using a calculator, and get your expectations too firmly set in the wrong product type.
Also, we say broker on purpose. A broker lets you shop around and find the best possible deal through their long standing relationships with different lenders. They also know which bank will provide the best possible rate for your circumstances.
2 | Do your calculations and sums
Create a little spreadsheet and work out your expenses, taking into account your future mortgage, on-going home ownership costs, savings. Work out how much you still need to save (if you still need to save money for your deposit), and what changes you need to make to achieve your goals as a home buyer.
Have a look at what debt you still carry, credit cards, car loans, and look at consolidating or paying them off to get yourself in a better position for home ownership.
Next, take a look at all the costs relating to the purchase itself. Collate it and understand them so you don’t get caught. Solicitor costs, stamp duty, transfer duty, removals, registration costs, strata fees and inspection fees to name a few. They can differ from property to property, state to state so do your digging!
3 | Get yourself a good solicitor
A good legal advisor can save you money in the property purchase process. A good solicitor is worth every penny. They may seem a bit expensive, but it will be worthwhile. A good property solicitor will be able to provide solid advice and assistance with costs in tip 2, but also things to look out, questions to ask, and most importantly, protecting your skin!
4 | Don’t get too much FOMO
Buying a property can be pretty hectic. Especially if it’s your first home! But don’t let the rush and excitement get the better of you. The last thing you want to do is overpay. You may fall in love with the home, but think with your brain, not your heart. Do your research, think carefully about what you’re buying and the offer you are making. Think carefully about your objective for buying, and match up your objectives with your actions.
5 | Don’t go looking for the big returns
This is more for those savvy investors seeking the potential financial windfall we’ve seen all over the media, but don’t expect immediate returns. Property is a long term investment. Plan and strategise accordingly. Anything quicker is a bonus.
6 | Don’t listen to the media
The amount of times we read articles on prominent news websites with contradicting opinions to the one from the day prior, is frankly ridiculous. In fact, sometimes there’s two on the same front page contradicting each other. The media loves to stir attention. Do your own research and find out for yourself as to whether something is true.
We’re pretty excited for you that you’re on your journey to buying your first home! We hope these tips will help! And while you’re here, we’ve got some pretty cool new homes on the market that may be of interest. Check them out here!