Expert tips for avoiding property finance disasters
Buying a home is a dream for many young Australians, but as we all know, breaking into the property market is no easy feat. In reality, trying to buy a property can be really stressful – especially if you’re not prepared.
According to Chris Browne from Rising Tide Financial Services, there are a few important things you should know before launching into the property market.
Save more than you think you’ll need
First and foremost, you need work on saving a generous deposit to put down before you seek pre-approval on your home loan. As well as this, it’s a good idea to factor in the costs of stamp duty, building inspections, the cost of moving, and a range of other fees associated with buying property.
It’s hard work, but by saving more than you think you’ll need, you can protect yourself against any unexpected costs and save yourself the headache down the track.
Explore all your lending options
There are so many different lending options available to home buyers, so make sure that you do your homework. Remember, what worked best for a friend, family or coworker might not be best for you, so don’t rely on word of mouth alone.
Your best bet is to settle on a lending option that keeps your interest rates low, and avoids extra costs like lenders mortgage insurance.
Set realistic expectations
If you’re buying your first property, focus more on getting into the market rather than buying your dream home. To avoid disappointment, set realistic expectations on where the house is, as well as what it looks like.
Don’t forget, once the house is yours there is always the option to renovate to something that’s more your style, and these days, our first homes are rarely our last.
Know the market
If you want to buy a property – we can’t stress this enough – do your research and make sure you have a clear understanding of the current market of your local area.
Keep in mind that simply surfing realstate.com.au isn’t enough. It’s a good idea to start attending auctions and speaking to agents to make sure you’re fully aware of what properties are actually selling for – not just what they’re listed for!
Auction Day Coaching
When it comes to auction day, your body language matters, and it could ultimately mean the difference between whether you win or lose the home of your dreams.
Consider getting some coaching on how you should behave on auction day. Auctions can be incredibly stressful, particularly when you’ve finally found the perfect property. Auction day coaching can teach you how to act as well as what not to do, and can really help take away some of the auction day jitters.
This article was first published by Rising Tide. Contact the team for more information about property financial planning.