So it's your first time playing in the big league of property, and you're not sure where to start aiming. No need to worry - we have been doing this a long time and can help you score the property of your dreams!
There are some things you'll want to know before you get into the game. Let us put your mind at ease and answer some of your big questions:
To avoid going into the buying process blindly - get an idea of what your bond affordability is by doing a simple online calculation. Don't forget to take into account property maintenance, taxes, insurance, and any other added bills.
Once you have an idea of your financial standing, we advise that you meet with a bank or lender who will be able to calculate what kind of repayment you are able to make by considering your income, debt, any assets you own, and your credit record. This decision will affect you financially for a long time, so you want to get it right.
Your credit score will give a mortgage lender an idea of where your financial standing is. It summarises your history with debt so lenders can decide whether you're worth risking a loan to, and at what interest rate to offer it.
The higher your credit score is, the more likely you are to get an offer with an attractive interest rate. There are typically mortgage options to suit any buyer's credit situation, but it will affect how much you are approved to buy with, and the financing rate the loan comes with.
Saving for a down payment is a big deal for home-buyers. You can generally expect to pay between 5 - 20% of your property's worth towards a down payment, however, some lenders could ask for a payment as low as 3% or less. This is something you will need to arrange with your lender directly.
Here's what you can do in the meantime: set a goal, make a budget and save, save, save! The bigger your down payment, the less you will end up paying on your property at the end of it all.
Of course, it's possible to go through the property purchasing process without an agent - it's just a whole lot more difficult. Real estate agents are qualified and experienced in this industry, and know how to come beside you during the buying process to take any unnecessary weight off your shoulders. Real estate agents know the state of the market, how to navigate through property procedures, and how to comfortably close the deal.
To avoid overwhelming yourself, don't buy property for the first time alone - we can help!