6 Things First-Home Buyers Should Know
Buying a home can be a very exciting and overwhelming time in a person’s life, especially with the rising house market making it more difficult for young people to purchase their first home. But if you do make it to the buying stage, then there are some words of wisdom that our Williams Landing real estate agents would like to impart so you can get the most out of your first home purchase. These seven tips are key to making sure you don’t fall into any traps and have the smoothest experience you possibly can.
1. Are you eligible for a home loan?
Money plays a big part in buying a home for obvious reasons, but you really want to make sure you have all of your finances in order before you commit to purchasing a home. First thing’s first, you’ll want to check that you’re eligible for a home loan.
If you find you’re ineligible, then you may not be able to continue with the borrowing process. Remember, the bigger your initial deposit, the more options you’re going to have available to you when it comes time to borrow (and at lower interest rates).
2. Applying for grants
On top of your cost of living, you’ll also need to spend money on conveyance solicitors, stamp duty and other similar expenses that come with the process of buying a home. You may, however, be eligible for the First Home Owner Grant. If the home you’re purchasing is under $750,000 then you could be eligible to receive a grant to assist you with your purchase.
Make sure to think ahead. You could lose your job at any moment so it’s good to have a backup. The thing you need most of all when purchasing a home is financial security. A good rule of thumb is to make sure you earn just over double what your monthly mortgage repayments will be – as you’ll have to factor in utilities, bills, daily expenses and other expenses that come with the cost of living as well.
4. Keep your mind grounded
It can be easy to hype yourself up and start thinking about the future of your potential home. When looking for a home to purchase, make sure you check every essential detail of the home. This includes major appliances, utilities and other things that you’ll be using on a day-to-day basis. Too many people occupy themselves with the aesthetics of the bathroom and how they’re going to renovate them to make them look more like they envisioned them in their head. Doing this can detract from more pressing matters.
5. Look beyond the house
As well as the home being up to your standard and fitting your lifestyle, it’s important to understand the surrounding area you’ll be living in and make sure it fits what you need. Is the home in an area that will suit your lifestyle? If you drive, is there a suitable car space in or near your home? If you take public transport to work, then is there a bus, tram or train that will take you where you need to go easily? Are there shops and eateries nearby? What are the neighbours like? These are the sort of things that matter in the long run and are worth exploring before you purchase.
6. Request a property inspection
A property inspection can be a worthwhile idea regardless of the age of the property. If you come across any structural faults in the home, then they could be used as leverage to negotiate the price further. In addition to this, the last thing you want is to purchase a home and have a structural or water-related issue suddenly come up. It’s best to spend a bit extra on a property inspection and report before you buy rather than deal with any issues later down the track.
Do you need a Williams Landing real estate agent?
If you’re looking at purchasing your first home, then Red23 is going to be your best professional partner. Our experienced Williams Landing real estate agents are more than equipped to guide you through your first-home purchasing journey and offer any advice you may need along the way.
If you would like to get in touch with one of our Williams Landing real estate agents then please give us a call on 03 8372 2122 or send us a message through our website here.