Tips for Buying Your First Home

buying-your-first-home

Getting a new home is a big investment. And one that is complex. Based on this, it is critical that you ask questions before you make the big move. 

When it comes to buying your first property, you shouldn’t rush it. Home buying experts advise that your buying decision should be analytical, not emotional.

That said, here are some well-thought steps to buying a house every first-time buyer should follow:

Think of the properties that are within your budget. 

How much do you have to buy a house? It would help if you considered this before beginning your property search. We’re not referring to the amount you can borrow, but the highest paycheck you’re ready to remit every month.

Rental payment may be easier on your monthly budget than paying back a loan for house purchase and other costs associated with homeownership.

Work your budget to include repayment of home loan, and make do with what’s left for three months while saving monthly for maintenance. 

This will help you pay your mortgage, and you can live a comfortable life. 

Also, remember that other costs like stamp duty fees will incur as you buy a home. So, add them to your budget.

The next step is to apply for pre-approval to buy a property. 

Learn about the suburb. You won’t be living alone. Research the local area extensively. Get to know the price of properties and trends in the suburb.

Enlist the help of a real estate agent to understand the happenings in the local area. Even a mortgage broker can help you understand the valuation of properties and what makes them different from the list price.

Investigate rigorously any problems the property may have

Finding a home to buy is one thing. How comfortable it will be for living is another. Ensure you cross-examine your soon-to-be home for defects. What’s the performance of the heating/air conditioning? How about the water pressure and appliances – are they functional? Take a look at the dishwasher – there may be pests living inside.

Don’t be scared to ask questions. 

These checks are critical in your property buying journey. 

Collaborate with experts. Home buying is a huge investment that is worth every inspection. Get a vetted home inspector to help you identify problems that may cost you so much to fix.

Consider whether your finance can cater for your needs with the help of a mortgage broker. Let your financial adviser tell you more about what it means to own a home. 

Be realistic, not emotional. 

Do you know that property purchase is not a thing of the heart? Yes, it isn’t. If you are offered a deal you’re not sure of, take a walk. Don’t forget other properties are being offered for sale. It costs money to buy a home so your terms must be fulfilled.

Don’t be afraid to negotiate. As much as possible, negotiate the price of any property you’re settling on. And do it like you’re not on the losing end—even additional hundreds of dollars matter regardless of how expensive the seller is offering the home. As far as investment property is concerned, negotiation is crucial. 

Searching for property may take more time than anticipated. 

Be careful not to enter into any agreement that might complicate things should property searches prolong than expected. If you’re living in a rented apartment, keep a monthly agreement so moving won’t be a problem.

Final thoughts

The property market is a complex environment that requires proper and objective considerations, especially for first time home buyers. It would help if you had all the facts. 

If you are interested in buying a home, don’t hesitate to contact any of our local real estate professionals. We can help you achieve this significant step of owning a home.

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