There’s nothing quite like that moment when you open the door to your new home and walk inside – it might need a lot of work, but heck, it’s yours! The hardest part of buying your first home is getting your loan approved and saving for a deposit.
Many Australians still believe in the so-calledAustralian Dream – to own a home and call their own. If you’ve even wanted to buy a Brisbane house and land, but unsure about what to do next, in this article we’ll tackle some of the steps you need to pass.
Get your loan approved by a mortgage broker. If you’re like most people, you will also borrow money from a bank/finance company/credit union/building society to buy your home. Most likely, you’ll be approved for 25 to 30-year loan, the standard option from banks.Most can get started with a $15,000 deposit.Get in touch with a Mortgage Broker to assist you.
Some banks will approve your loan if you have at least 5% of the purchase price saved. A bigger deposit increases the buffer, reduces Lenders Mortgage Insurance (LMI) and bank risks. You can borrow 100% of the house value if you have a family member guarantor (calleda Family Guarantee loan).
Look for a good solicitor or conveyancer. It’s a great idea to have a solicitor with you when you’re ready to buy. They can help you with what to do next. The solicitor or conveyancer will assist you with counsel on the legal side, ensures the contract has the agreed terms, liaises with the seller, arranges payment of the deposits, arranges the home be transferred to your name after settlement, etc.
Learn house hunting skills. House hunting is a competitive business, especially at the moment when the market is hot. Many people will be looking to buy a home, either to live in or for an investment. High demand from buyers means houses can sell really fast. Simply put, find a house that both stacks up on paper as well as feels right.
The elements to making a good property decisionareusing logic (does the price make sense), your heart (love the aesthetics, will you love coming home to it?), and your gut (does it feel like the place to live or raise your family?)
Making an offer. After house hunting and finding a Brisbane house and land you want to buy, it’s time to make an offer. There are no set rules on the amount you can offer. Start by making an offer in writing to the real estate agent, for what you feel the home is worth. The agent will liaise with the seller on your behalf. There will be negotiations, and if all goes well, your solicitor should review the contract of sale before you sign.
Pay the deposit and get insurance.Next, you need to pay a refundable deposit when signing the contract. The most common amount is between$1,000 to $10,000. This deposit is paid within the 24 hours of contract signing and is paid into the real estate agent’s trust account.The insurance must commence on the day both parties sign the purchase contract.
Loan and home settlement happen at the same time. The solicitor will arrange the settlement on your behalf. He or she will also assist when paying the range of costs, such as transfer fees, stamp duty, solicitor fees, utility deposits, etc.
End Note. After all of this is done – the home is finally yours!What’s next is repayments base on your loan contract. Don’t forget to consult with a property expert for any concern. Best of luck!