Entering the property market and buying your first house can seem daunting. It is important to take a series of steps to ensure that your buying and building process is as smooth as possible. Buying your first home is a big step in your financial life and speaking to experts and making smart decisions regarding loans and deposits is essential. Here are 4 tips for you to consider when buying your first home.
Borrowing Money: A Good Sized Deposit
It is important to make sure that you are first eligible for a home loan. This might involve contacting multiple lenders to see how much you are eligible to borrow. This is based off of a range of factors that include living expenses, current assets, income and the type of income that you have coming in. It is also important to pay off as much current debt as you can as this will also affect the loan amount you will be eligible for – managing your credit cards well will also enhance borrowing capacity. Speak to people and review different lenders to get an idea of who will offer you the best loan and service – and take your time, there is no rush.
It is beneficial to have a good sized deposit and so it is important to make the most of your income and figure out how much money you spend each week. Factor everything into your spending and get to know your money habits and whether you can cut back on anything.
Know that it is alright to start smaller with your first house and upgrade later in life if you need something different.
Inspect Homes and Browse Displays
This is your first home, therefore you might need to do some work to really know what it is you want – this can be the fun part! Spend time inspecting homes and prices, visit display homes to know what type of home design you want for yourself and potentially your future. This can include number of bedrooms, bathrooms, size of kitchen – the possibilities are endless and choosing what is right for you is important.
Save. Save. Save
Work on your saving habits. This is absolutely essential when seeking to purchase your first home and pay off your loan with ease. There are hidden costs that might come up during the buying, or building process, which is why having smart saving strategies is important to allow you to cope with repayments and other surprise charges. Do whatever it takes to assess your spending habits – download apps, or make a table where you can note down your spending habits to see where money is being spent, as well as where it can be saved.
Talk to the Experts
Talking to professionals is a critical step in entering the property market and settling down in your first house. Industry professionals will make the process so much easier and give you a great sense of comfort in the fact you are making the right decisions for yourself and your future. This can include financial advisors who will assist you in budget planning and assessment, as well speaking to us at iBuildNew.
Speak to one of our expert consultants on 1800 184 284 or book a call online for any questions or queries you may have about buying your first home and being matched with a builder. We are motivated to help your first home buy be a pleasant experience.
If you’re having trouble how to finance, Download our FREE guide today to get a comprehensive overview of what you should expect and prepare for.