One of life’s biggest achievements is owning your first home. The significant and memorable experience, similar to other large achievements throughout life, requires a series of thoughtful decisions and smart, strategic planning. However, where are newcomers meant to start? We’ve listed some things every first buyer guide needs to know!
Budget – How much money do you have?
Saving money is hard. We get it. But in order to purchase your first home, you’ll need to show you can afford your new home repayments. It looks great to lenders if you’ve been saving a decent proportion of your income for a new home, over an extended period of time. Lenders require a range of evidence in order to evaluate your financial situation and your ability to make the home loan repayments.
Location, Location, Location.
The location of your new home is important. Some things to consider when researching potential locations include current property prices, local amenities available and local crime rates. Make a checklist of features you would like in your new home, including the location, so you’re able to easily evaluate and check against when looking at properties.
Spending money on a building inspection can be a worthwhile investment in the long run, even if you’re initially hesitant about the upfront cost. Issues not available to the naked eye, such as asbestos, termites, electrical, ventilation and plumbing faults may be found which could end up costing you more than the inspection itself. Purchase price may also be negotiated if these issues were not made known prior.
Although there are many things to consider when purchasing your new home, being prepared and doing your research can pay off. It is recommended to enlist the help of a broker as they have been through this process many times before, and can help you remain calm and knowledgeable throughout this process, while ensuring you buy within your means and end up with no surprises!