3 must do steps to prepare for buying a house
Feel like you know this week’s real estate guide back to front? If so, you’re on the right track. Doing your research and preparing yourself to shop around is an important part of securing your dream home. Here's three must-do steps to prepare yourself:
1. Find out what you can afford
Before you do anything it's a good idea to find out how much you can afford. Online tools such as our home loan repayment calculator can help you estimate the total cost of purchasing a house and what your repayments could be. You can also input your income and expenses into our borrowing power calculator to get an estimate of your borrowing power.
For a more accurate estimate of how much you can afford it's best to talk to one of our lending specialists. They will take you through our fixed and variable home loan products, to help you find the best loan for your situation. A lending specialist can also organise a home loan pre-approval, to help you shop with more confidence.
If you can't afford to purchase a house yet, check out our tips on saving & budgeting to get you there sooner.
2. Understand what you want
Understand and continue to remind yourself of what you are actually looking for. Is this house going to be your dream home, or is it a stepping stone to get you there? Are there things you can compromise on and things you absolutely need?
Keeping a list will be a great reference point for you – especially if you decide to make an offer and enter into a negotiation. Our Home Buyer Brainstorming Checklist is a great printable tool to get you started.
3. Research the market
What’s happening in the area you’re looking at buying in – what’s sold, for what price and how long did it take to sell. This will help you to know if you’re walking into a bargain or if there’s potential for you to negotiate a better price based on market trends. Free tools like the Domain Home Price Guide can help you with an estimate. Sign up for real estate alerts and get friendly with local agents – be honest with them as this will set you up for an effective relationship with the agent. If it's likely that the property you want will be auctioned off, it's important to learn how to bid at an auction.
Did you know our Lending Specialists can provide you with a complete Comparative Market Analysis Report? If you're looking at buying, selling or investing in property this report can give you information such as photos, appraisal price, sales history, recent sales in the area and capital growth in the area. To request your free report enquire online today, talk to your local Lending Specialist or call 13 14 22.