If you and your partner have your hearts set on buying your first home and you are looking to reside in the Sydney area, this article was written with you in mind.
Sydney is one of the most sought-after regions in Australia, something land prices clearly reflect, and add to that the fact that you have never bought a house before and you have quite a daunting prospect! There are, as in any financial transactions, mistakes that can be made and with that in mind, here are a few things to consider when looking to buy your first home in the Sydney area.
Over-extending Your Budget
It is very easy to take an optimistic view when looking to buy a house, and we convince ourselves that somehow we will manage, yet in reality, we have committed to repaying more than we can actually afford. One must always remember things like stamp duty, fitting and furnishings and certain other fees to pay.
When calculating how much you can afford to repay, make sure you include every outgoing, and add a little. Check out articles available online for some sound budgeting advice, which might help you increase your savings.
Dealing Directly with the Lender
There are many finance companies that employ agents who try to sell their loans and if you should approach a mortgage lender, they will offer you what they have, rather than what you need. Talk to one of the independent Sydney mortgage brokers, who is not tied to one particular lender and can therefore find a mortgage that best meets your needs.
Lack of Knowledge
Some people are completely unaware that the NSW Government has a first time buyer’s package that consists of grants and exclusion of Stamp Duty – which is a considerable saving in itself. By talking to an independent mortgage broker who is established, they will walk you through the entire process, making sure you receive all the benefits you are entitled to. You could not expect a first time buyer to know anything about real estate purchasing, which is why you need the advice of an independent broker.
Failing to Research the Property
When buying a property, one must be sure that it is structurally sound and has no legal restrictions upon it. There are many searches to ensure the property is, in fact, what it seems. A conveyancing lawyer would be able to walk you through this stage and would ensure that the property is structurally sound and not subject to any local authority order.
Sydney is one of the most desirable locations in Australia and if you are planning to buy your first home there, talk to a local independent mortgage broker, who will ensure that you make none of the above errors, making the process of owning your very first home trouble-free. An online search is the best way to source such a broker and with their help, your dream home will soon be a reality.