Things to Do Before You Purchase Your First Property in Australia
Posted by Tristan Angelini on 12 August 2021
Buying your first home is one of the most exciting experiences you will ever have but it could also become the worst if you don’t do it the right way. Buying any type of property would require a lot of factors to consider such as the financial aspect, the location, the amenities, etc. Making a huge investment needs a lot of preparation to avoid making big mistakes in the future that could impact your life in a way that is difficult to repair.
First time home buyers are obviously quite inexperienced when it comes to investing in property and they would often be surprised to find out that there are so many ways you could go wrong, so the best way to make the experience not traumatic in any way is to be careful until the sale has closed. Here are some useful tips before making that huge purchase.
This advice seems cliché and vague but it makes a whole lot of difference especially when you are just picking out the place that would be your first property. Once you fall in love with a particular place, it could be difficult to not go with it. This is where the “be realistic” comes into play. Realistic in the sense that you know how much you can only afford and how much you are willing to pay. If you realized you want something that is out of your budget, it could end up becoming a painful experience for you so it would be best to stick to your price range. Try to search first at the end of the price range and then if you feel like you don’t need to go higher because you have already found the one, then it will work out in your favor.
You must have plenty of options before you decide on one property. What you can do is to look at a few properties and at the same time, look far ahead. For example, you want to have a big family in the future - not fewer than two kids. It’s best to look for something with a bigger space. So to be able to find what will fit your plans, you might need to compromise to some degree, but it doesn’t mean that you go way above your budget. There will always be that one property destined for you to find so don’t settle for something just because it looks good at first look.
Check the Neighborhood
The surrounding area should not be forgotten if you are scouting for a place to live in. Whether it’s going to be for a few years or a forever home, the neighborhood is an important factor in making sure that your choice will end up being the best one. There is always that risk of unpleasant surprises coming your way so while the residence is going to be your main consideration, you might want to research the area surrounding it.
Seek for an Agent
You’d be surprised to know that there are really brave ones out there that think they could make their first purchase without a qualified real estate agent to help them out. They obviously know the drill and may even provide the kind of assistance you need to make this purchase as smooth as possible, so hiring an agent is important.
Know the full cost
One huge reason why so many homeowners tend to realize they made a huge mistake, later on, is their failure to understand the full cost of buying a home. These costs we are talking about are acquisition costs, stamp duties, rates, valuation costs, loan application fees, and mortgage insurance. There are other costs that you would need to prepare for like moving costs and other miscellaneous fees once you move into a new home. Know where your money is heading then set aside a budget. Always remember that there are also ongoing costs when you own a property.