Buying Your 1st Home
Buying your first home can be one of the most financially significant events of your life. The pressure is on to get it right. First home buyers often have loads of questions running through their minds – Can we trust this Real Estate Agent? What on earth does he mean by “This house is great – it has loads of character!” What is a Buyer’s Agent? How are you supposed to know the buying process? What home loan should we apply for? Who is this building and pest person they keep talking about? The list goes on and on….
Buying real estate can be a complex process so it’s no wonder that people often feel overwhelmed when buying a house, especially their first! There are a few things you should do to prepare yourself for this journey and to eliminate all of that stress! Life is already hard enough, right?
Now, like myself, I’m sure you’ve all checked out the 3+ million dollar homes that line the Brisbane River on realestate.com.au, but for most of us this is not realistic so let’s get down to business.
First of all, decide on a rough budget that will suit your financial situation. Go to the bank or a mortgage broker and talk to them about home loans and pre-approval. They will let you know exactly how much they are willing to lend you, usually indicating your budget. Now make sure you shop around. You’ll definitely be able to find a better deal if you go to more than one bank to enquire. For those of us who find this tedious and maybe even a bit stressful, I would recommend booking a free appointment with a Mortgage Broker like Aussie Home Loans. These super helpful people will pretty much do all the hard work for you!
With this budget figure in mind, you will be able to check out real estate websites for homes in your price range. When doing this, it’s important to have a list outlining the specific requirements you have for the home or property, including location, house or unit, land size, number of bedrooms and bathrooms, car spaces, pool or no pool etc. From your internet search you should have a much better idea of what sort of homes are available on your budget… thanks google!
Now comes the fun part. Heaps of house inspections! Have a good look at each home and try to picture yourself living there. Look out for the neighbours and consider the street noise and traffic. Talk to the Real Estate Agent about any questions you may have. They should know the ins and outs of the property so no question is a silly one. Make sure you take your list of special requirements and tick them off as you see them. This helps keep the focus on what is really important to you.
Once you have found ‘The One’ and signed a contract, you usually have a 7 day period to employ a building and pest inspector who will give the house a really thorough looking over and report on any building problems like termite damage or building issues. If any issues are flagged you will have the option of withdrawing your offer or negotiating the price down to allow for the cost of repairs. Sometimes the seller will even pay for the problem fixed prior to the settlement just to ensure the sale goes through.
At the time of signing the contract, the real estate agent will clearly outline all of the tasks you need to do such as making a deposit and finalising your home loan etc. My biggest tip is to write these jobs down in a time line and follow it to a T!
Basically, that’s it! Be organised (lists, lists, lists!) and remember, it’s all about communication. If you have a question, ask it.
Best of Luck!