There are a bunch of things to think about when buying a home. This can be overwhelming for many new home buyers. Other times, it even leads them to focus on the wrong things— and that’s something you want to avoid at all costs.
Buying a home is a big deal, so making the wrong decision can have you living with regret for years. Let me help you figure it all out. As a mortgage broker, here are five things I always advise my clients to do before buying a house:
Review the area
Where is your dream house located? Does the place suit your lifestyle? Check the size of the property, the neighbourhood, and its accessibility to schools, your workplace, and essential facilities like shops, medical care, etc. Be practical when it comes to choosing the location. Surely, you don’t want to endure long hours of driving and traffic daily, right?
Also, before your big move, take the time to drive or have a walk around the place. This gives you an overview of what life is like once you start living there.
Be prepared for maintenance issues
Yes, I will be honest. It’s important for you to get an inspection done, especially with older properties. It’s an added expense out of your pocket, but I’m telling you, it’s worth it. This extra step tells you practically everything you need to know before buying a house.
Just the other week my clients Mel and Ben had fortunately signed a contract with a building and pest inspection. To their eyes the place looked perfect, unfortunately the building inspector had different views. They may have been living with termites as well as regrets if it wasn’t for the inspector.
While most houses only need a fresh coat of paint and some minor fixes, others might be at risk for mold, water damage, or even an insect infestation. Point is, you can’t really tell all this from one glance. Only a home inspection brings these factors to light. With more info about possible home maintenance costs, you can decide to either renegotiate the price or look for another property.
There will be extra costs
Aside from potential purchasing costs, there are other expenses you need to be aware of. This includes the cost of hiring movers, deposit fees, cleaning supplies, and more.
Minor expenses like these can add up quickly. It’s wise to make an estimate now so you’ll know how much money you actually need to prepare.
Read through the contract
Before you approve anything, always read the fine print. A lot of home buyers think that contracts are non-negotiable. But, in truth, they are! That’s exactly what contracts are for, they are meant to be negotiated.
Also, the section 32 is the part they need to provide you which has all relevant information on the property. Give this to your conveyancer to have a quick look over so you are aware of any risks.
Think of the commitment
“Wont someone please think of the commitment!”
What are your long-term goals? Will you be staying at your current job? Raising a family?
Remember, the choices you make now create an impact on your future and it’s one of the most important things to know before buying a house. Picture yourself within the next five to ten years. Does the house you’ve chosen now still meet your needs? If not, then you might want to keep on searching.
Don’t worry, I’ll make the task easier for you. Being a mortgage broker for many years, I’m able to personally advise you when it comes to buying a home.
In fact, why don’t you send in your concerns or questions to me through an e-mail so we can discuss them one by one? Once we have that sorted out, I can then help you breeze through the pre-approval process.
Will Bell Mortgage Broker is a mortgage and finance broker based in Melbourne specializing in residential home loans. Will is all about the average Australian understanding just enough of the broader economy to take action on your own personal economy. He is the host of the My Personal Economy Podcast which you can check out here.
Additionally, you can follow him on Facebook