Ownership is Security.
Buying your first home can be an exciting and daunting experience – there are many finance configurations and property options to choose from, and the market is typically very competitive. So you need to be prepared.
Do your research. Inspecting homes is a fundamental part of the buying process. By inspecting properties you can familiarize yourself with current market values. Having such knowledge puts you in a good position to figure out what you can reasonably afford. But before you put in the leg-work of inspecting, you need to put in the brainwork of calculating what you can spend, and confirming with your bank that you’ll be able to borrow that amount.
There are many financing configurations that you might want to consider. Some people save for a deposit while living at home or renting. Others opt for joint ownership with a partner, friend or sibling. Regardless of how you configure your finance, the important thing is that you organize it before you start looking in earnest.
Once you are past the initial research stage and seriously ready to start looking for your first home, then it is time to seek pre-approval on a loan from your bank. Many novice home buyers make the mistake of looking for places without sorting their finance first — and they inevitably miss-out on a place they wanted because of a financing hiccup. Pre-approval also gives you an advantage over the many other prospective buyers, as you’ll be ready to go should the right property come along.
But even once you’ve found a property you like, there are still important things to consider before you commit. You may need to get building, pest and electrical inspections done. And don’t start packing your things until the contract has been exchanged — buyers are always looking for the best price, and it’s not uncommon for verbal agreements to be voided if a better offer comes along.
OK, so that’s some of the scary stuff. But don’t fret; the good news is that Salamanca Realty can help you with most of these issues. We know that buying your first home should be an exciting experience, so we’re here to ease the burden, and to help you make informed decisions.
As a first home buyer, you may be eligible for a $7000 First Home Owner Grant. To see if you qualify, visit sro.tas.gov.au/fhog