A home is likely to be the biggest financial outlay a buyer will make and buying a home can be a daunting prospect, particularly if it is your first. Achieving the best possible outcome in terms of value and your requirements/lifestyle is far more likely if you follow a few simple but important guidelines.
1. Set a budget and stick to it. Don’t be encouraged to borrow more than your income level and current commitments allow and when arranging your mortgage, remember that interest levels are at historical lows and factor in that they might rise over the course of your
loan.
2. Do your research. Attend auctions and opens in the locations you have earmarked as desirable, talk to agents and get online. Realestate.com.au and Corelogic.com.au are invaluable tools in assisting you to get a feel for the market and what a proposed home might be worth. Median prices, sales results and historical property data are freely and readily available to the general public.
3. Don’t be influenced by short term market forecasts. The media talk constantly of the property bubble bursting’ but in my experience this has never happened. Real estate is a solid investment and any slight dips usually stablise quickly, so putting off a decision to buy
may mean you miss a great opportunity.
4. Don’t be disillusioned too soon and buy a cheaper home, then watch the right home hit the market when it is too late. It’s a big decision, so make it the right decision.
Until next week,
Nick Lord (Director)