Top 4 Tips for Buying your First Home
To know how you can avoid mistakes when buying your first home, here are top five tips to keep in mind:
Tip #1: Use online calculators
Online calculators such as mortgage calculators, stamp duty calculators, and borrowing power calculators are just some of the useful tools you can use when you’re considering of taking out a home loan. Each calculator has a different purpose.
- A mortgage calculator will give you an estimate of your repayments based on your interest rate, loan amount and repayment schedule.
- A stamp duty calculator will calculate how much your stamp duty is based on your location, property value, and property type
- A borrowing power calculator will give you an idea of how much your borrowing capacity is.
Tip #2: Know if you qualify for First Home Owner Grant
The First home Owner Grant or FHOG is a one-time payment to qualified first home buyers. This grant is designed to assist first home buyers in building or buying their first home. The amount of the grant and your qualification for the FHOG will depend on where you’re buying and the value of the property.
Tip #3: Save up for the upfront costs
You may think that deposit is the only upfront cost you will need to pay for. However, when buying a house, you will also need to pay for stamp duty, conveyancing fees, moving expenses, mortgage application fees, and building and inspection fees. Make sure to factor all of these in to your budget before you apply for a home loan.
Tip #4: Don’t forget about insurance
Your home is your greatest investment and you obviously want to protect it. Arranging your property insurance such as a Home and Contents Insurance before you move in is a smart decision. Generally, this will protect your home and belongings against natural disasters, theft, and more.
The process of buying your first house can be as easy as pie with these four useful tips.