Buying a home here in Australia is an intricate procedure that loops in people, institutions and processes. If you are fixing to buy your first home, then chances are that you have little or no knowledge of how to go about it ,which is why it is always advisable to do some looking around and connect with professionals in the industry. There are incentives you need to take advantage of and there are bullets to dodge along the way.
Here is a guide to get you started.
Know what you want
You need to have a distinct feel of what you are looking for. If you are living in the city and are looking for an apartment, then you are able to sift through the wide array of properties on the market to arrive at what you want. Those living in the countryside will definitely move for homes as opposed to apartments. Those with families have a different set of housing needs compared to young, single home buyers. Being in the know when it comes to what you are looking for saves time and gives you a clear idea of where you are going.
Gather Information on Prevailing Prices
Australia has a fairly stable real estate market, and prices will mostly depend on location as well as external factors such as the state of the industry at the present moment. One of the easiest ways of obtaining dependable price ranges involves doing some research on the market. Take a look at the current sales figures in the area, and focus on the homes that fit the same profile as what you are looking for. If possible, look for the right professionals (e.g. real estate agents) to help you along the way. It helps to inflate your budget by around 20% because you may never know if additional costs will crop up along the way.
Have a Realistic Budget
At times, you want the best home there is out there but the issue of budget keeps frustrating the decision-making process. Homes in Australia have very varied tags, all the way from the hundreds of thousands to millions of dollars. You need to understand your abilities and plan to spend within your means. Look out for low-interest mortgages and take advantage of what institutions offer. Schemes like the First Home Owner Grant will come in handy at this point. Find out everything you need to about every lender and every institution in order to be able to make a sound decision at the end.
Take a Look at your Options
You are going to be looking for the ultimate deal, so do not rush it. Check out the local listings and write down several addresses that fit your profile for the perfect home. Make some time and call the other party in order to book meetings and arrange tours. Look out for the subtle differences between one building and the next because they could tell you a lot about the individual units. Narrow down your choices so that the process does not stall as a result of indecision.
Inspections are Crucial
Your real estate agent will walk you through some of these things, but you still have to know what some processes entail long before starting out. Having the home you have your eye on inspected saves you extra cost in the future. Inspectors are able to identify faults or vouch for the integrity of structures. If faults are detected, you can always push for a cut-price, have the seller renovate simply or move along to the next point of interest.
Master the Art of Negotiation
The seller is looking to get the highest amount possible for their home, and you are fixing to pay what you consider fair. Understand that compromises have to be made either way and keep the conversation open. Avoid stalling in the hope that another home might hit the market and grab deals that seem convenient and reasonable.
Closing the Sale
Every buyer wants to hold the keys to their first home within the shortest time possible. Ensure that all your documents are in order in the countdown to the closing day to avoid last-minute debacles. Said documents could include your copy of the inspection report and financial statements from the bank.
Setting foot into a first home is the utmost achievement for many of us. For this to happen, you need to be informed, prepared and willing to do whatever it takes.