As a first home buyer, endeavoring to get a foot into a property venture in a warm property market may seem, by all accounts, to be inconceivable. Despite the troubles notwithstanding, the latest figures show that first home buyers still make up a sizeable piece of buyers in the present property market. While you may need to change your spending habbits when buying your first home, resilience and energy do pay off. We’ve laid out things to consider when entering the property market for the first time.
Setting something aside for your purchase infers no abroad holidays, less meals out, and no unreasonable shopping sprees. Set yourself a deposit saving objective. You’ll require no less than 20% of your purchase price as a deposit. Then you need to consider your legal costs, moving costs, stamp duty and extra budget items. When you are moving out of your parents home for the first time consider the extra expenses such as electricity bills, internet cost, gas, water, council rates etc. Most of which you may not be aware of.
Deciding on the sum you have to spend keeps you from disappointment down the line. With pre-approval you’ll know the property you can buy and what you for all intents and purposes can afford to repay. You may need to change your ideal home location and buy a property in a region you hadn’t considered. Perhaps something in an area you hadn’t considered or a do-upper that needs some work.
While your first home may not as per normal procedure be your dream home, it’s a sensible starting place on the property ladder. Complete your work – take a gander at property costs online and visit open homes to make sense of the area you’re pondering acquiring in. Consider the things you totally ought to have – being close to public transport routes, schools and shops in the neighborhood, or your office travelling time, and likewise potential resale of the area.
Chat with the area realtor professionals you meet at open homes. Ask them to add you to their databases so you get a better idea of what properties are on offer in the area you like and what market prices are being achieved. At this stage it is time to talk to us, we can help narrow down what you can borrow from banks and which lender has current specials that may suit you.
Talk to us about your property expectations. Sometimes the property you are really keen on may not be suitable for a mortgage of the amount you need. Example, older houses that have a heritage listing component or properties that have been rezoned as commercial (shop front or old doctors residences etc). Both may not be suitable as residential mortgage securities.
With over 30+ lenders to choose from, home loan brokers Alliance Credit can help find a mortgage that suits your income and property expectations with features that suit you. Talk to us today.