Your Home Buyer Guide

1. Evaluate your finances:

Evaluate your finances, figure out what you can afford, calculate how much you can borrow, and set a practical budget for buying a home

2. Save for a deposit:

Begin setting aside money for your deposit, as it's essential when purchasing a house. Strive to save 20% of the home's value to avoid Lender’s Mortgage Insurance (LMI) and secure more favorable loan conditions

3. Get pre-approved for a loan:

Contact several lenders to get pre-approval for a mortgage. This will let you know the most you can borrow and help you negotiate confidently with sellers

4. Research the market:

Explore various neighborhoods that suit your preferences and budget. Look into property prices, proximity to amenities, public transport options, and growth potential

5. Engage a buyer's advocate: 

If you prefer professional assistance, consider engaging a buyer's advocate who can assist you in finding suitable properties at good prices and guide you throughout the buying process. Read the article   “Do I need a buyer’s advocate?”

6. Inspect properties:

Visit open houses and private property viewings for homes that you like. Take note of the condition, size, location, and potential renovation expenses

7. Conduct due diligence:

Before making an offer, conduct thorough due diligence. This includes obtaining building and pest inspections, checking zoning and land titles, and reviewing strata reports (If applicable), growth potential, neighbourhood, restrictions, etc

8. Negotiate the purchase price & make an offer:

After you have found the property you like, negotiate the price. Look at recent sales data in the area to see if the asking price is reasonable. Be prepared to negotiate terms and conditions

9. Engage a conveyancer or solicitor:

After agreeing on the purchase price, engage a conveyancer or solicitor experienced in property transactions. They will take care of all the legal matters, such as reviewing contracts and finalizing the settlement process

10. Arrange finance and secure a loan:

Complete your loan application with the lender you have selected. Submit the necessary documents and fulfill any extra requirements set by the lender to ensure loan approval without any conditions.

11. Exchange contracts and pay deposit:

Once all conditions are met, exchange contracts with the seller. Pay the agreed deposit (usually 10%-20% of the purchase price) to secure the property

12. Settlement:

Collaborate with your conveyancer or solicitor to ensure a seamless settlement process. Make sure to have the necessary funds, including the loan amount and additional expenses like stamp duty, ready for settlement

13. Complete final inspections:

Before the property settlement, make sure to complete the final to ensure it is in the agreed-upon condition and that any negotiated repairs have been completed.

14. Settlement day:

On the settlement day, your conveyancer or solicitor will arrange the transfer of ownership and payment of funds to the seller. Once the settlement is successful, you will receive the keys to your new home

15. Move-in and celebrate:

Finally, it's time to move into your first home! It’s time for celebration.

You may be eligible for the (FHOG) First Home Owner Grant. The First Home Owner Grant (FHOG) is a government incentive for first-time homebuyers. It helps with the financial burden of buying a home by giving eligible applicants a one-time grant. The grant amount varies by state or territory and can be used for a deposit or to offset costs like stamp duty. FHOG makes owning a first home more attainable and provides a solid financial foundation.

Remember, buying a home is a significant decision that requires careful consideration. It is important to take your time and not rush into anything. Seek advice from professionals, such as buyer’s advocates, real estate agents and financial advisors, who can provide valuable insights to help you make an informed decision. Additionally, conducting thorough research throughout the process is crucial to ensure you are well-informed about the market, property values, and neighborhood amenities. By taking these steps and approaching the home buying process with patience and diligence, you can position yourself for a successful and rewarding investment. Read our disclaimer.