Buying a home can be a big undertaking but the rewards are well worth it. What aspects should you pay attention to and look for? The following is an overview of what first time home buyers should look for when looking for a new home.
A first home is one of the biggest purchases Australians make. It’s a place you’ll be living in for quite a while, so you want to buy a quality property that will keep you and your family comfortable for years to come. At the same time, overspending can have financial consequences. Striking a balance is essential, but how do you know the right amount?
One of the best ways to figure out how much you can afford to pay for a home is to get pre-approval from your lender. A pre-approval is basically a professional opinion on how much you can borrow. Most lenders will offer a quick pre-approval service whereby answering a set series of questions about income, assets, liabilities, and other credit related issues, they will give you a figure of how much they can lend you. This figure can then aid you in your search for the perfect property so you can buy the home you really want without overstretching yourself financially.
Besides the property price itself, be sure to factor in extraneous fees such as council fees, taxes, home loan setup fees, and Lenders Mortgage Insurance (LMI) if you are not paying a 20% deposit. Make sure to check up on government assistance such as the First Home Owners Grant (FHOG) and Stamp Duty Concessions as they can save you a bundle.
Location matters, as any property agent will tell you. Convenience to the CBD or public transportation will matter as your commute will be a trip you’ll be taking quite often. Amenities are next, as libraries, parks, and shopping centres located in your neighborhood will have a great impact on you and your families quality of life.
Many people neglect the softer aspects of the neighborhood but actually they make a big difference as well. As you explore the neighborhood of your potential property try to soak in the vibe and culture of the area. Is the demographic one that fits you and what you aspire to?
Are there local activities for you and your family to get involved in and to help you integrate into the community? Aspects like these are often overlooked but can make a big difference in long term satisfaction. This is also another reason why it is so important to explore the surrounding areas of the property you are interested in purchasing.
While it’s important to stay within a budget, it doesn’t mean you should sacrifice quality. A home that you and your family will live in for years to come needs to be solidly built and have the essential features you desire. Project home builders offer some of the best value without sacrificing quality. With a project home builder, you are able to visit their display homes and see their designs yourself.
Be careful though as some builders will put a load of optional features in their display homes that they may not be included in their standard designs. Good builders, however, will be transparent and explain what is included and what you will have to pay extra for.
Understanding what to look for in a first home is essential for long term happiness with your first property purchase. If you have any questions about the home buying process or building a home, contact a friendly representative at First Home Owners Centre today.