Top tips for the first home buyers
It is a dream of many people to own a property. This will be the most expensive purchase you are going to make for the foreseeable future. However, there are ways to minimise your costs and cover off on some of your risks. Beyond the cost of your deposit and home loan, there are a number of costs associated with buying a home. To get a true idea of how much your property purchase will cost, you’ll need to add these up. We have put together some tips for owning your first home.
So, let’s get started:
Availability of Finance:
- First and most important, talk to your bank or finance broker to find out how much you can borrow. This will guide you to set a budget.
- First home buyers may also be eligible for a $15,000 First Homeowner Grant to put towards your deposit, or fees and charges (Please research the current state legislation as the conditions are subject to change and applicability). Your finance broker will be able to advise you if you are eligible.
- Begin your search for suitable homes within your budget on the relevant real estate websites.
- Research areas/suburbs that you would like to live in.
- Search for a house that you can turn into home and live there for at least 5 -10 years
Find out about the Stamp Duty.
- Stamp duty will be added on top of the sales price in the transaction of the settlement.
- Stamp duty may be reduced if purchasing only land or a home and land package.
- Overseas buyers may have to pay additional stamp duty.
- Stamp duty varies from state to state and some states offer exemptions for First Home Buyers.
What are the Lender Fees?
- Lenders also have their own fees. Find out what your lenders will charge, this might include application, legal and settlement fees
Do you need Home and Contents Insurance?
- Before your lender will unconditionally approve your home loan, you will need to organise Building Insurance. It is also a good idea to insure the contents of your new home.
Why is Building Inspection necessary?
- Before signing the contract for your home, organise to have a Building and Pest Inspection done on the whole property. This will ensure your home is structurally sound and free from pests. A reputable Building Inspector should be contracted to deliver this service.
Are there Conveyancer/solicitors Fees?
- You will need to get a Conveyancer or Solicitor. This can be done when you begin searching or as soon as you find a property.
- Once you have signed a contract, check the property information on the vendors statement (Form 1). You can also ask your Conveyancer to check for any special conditions in the contract. e. caveats, easements.
Congratulations. You have purchased your home. Before you take possession of your property you will need to connect the utilities to the property, these will include, Gas, Electricity, Phone and Internet.
Please feel free to give us a call if you have any questions. We would be delighted to help with your query.