Top Tips for First-Time Homebuyers
Buying your first home is exciting and scary at the same time. There are so many important decisions to make and it’s important to be prepared properly. If you are a first-time homebuyer here are some key tips to consider before purchasing your new home:
1. Pick the right mortgage.
There are different mortgages on the market and it’s so important to choose a mortgage that suits your lifestyle. Picking the right mortgage is key when buying your first house, as this will be your biggest expense. Speak to a professional financial advisor to find out what will best suit you.
2. Make sure you understand the real cost of buying.
Buying your first home isn’t just going to include the new mortgage payments. All costs for the house are now your responsibility and you can’t just send them off to your landlord like you did when renting. These costs can include rates/building fees, all repair and maintenance costs, taxes etc. It’s important to get an understanding of what the real costs are and be prepared financially for when things go wrong.
3. Get pre-approval for the mortgage.
Find out how much lenders are willing to loan based on your current income and expenses before you go house hunting. That way you know how much your budget is before you get emotionally attached to a house you just can’t afford.
4. Get a professional to check the properties condition.
It’s so important to get a house checked properly before buying and to see if it’s structurally sound, safe, dry etc. The last thing you want is having your first home become unlivable or costly in repairs from surprise problems.
5. Don’t get too emotionally attached.
The buying market can be ruthless and just when you think you have found your perfect first house, you lose it because a higher offer has come in, or the owners change their mind. Speaking of emotions, it’s also important to keep them in check when viewing a property. If you get too excited you have automatically given the agent an upper hand in negotiations.
6. Read your contract.
Make sure you read your mortgage contract from cover to back and if there isn’t anything you understand, get your agent to clarify. This will cover all the terms and conditions in your mortgage contract. Buying a house is a huge responsibility and you don’t want any surprises because you didn’t read your contract properly.