The essential checklist for first home buyers

Are you thinking about buying your first home? You’ve got a decent chunk of money tucked away and now all that’s left is to find yourself the right home loan. What comes next? Here’s a handy checklist we’ve put together:

1. Decide if it’ll be live-in or investment

The first decision you’ll need to make is what the purpose of your first property will be. Are you planning to live in it, or purchase it as an investment property?

2. Research property prices in your area

Build a solid understanding of current property values. Keeping an eye on property websites such as Domain and, and talking to real estate agents at open homes in your area will help with this.

Do your research on property prices in your area. 

3. Set clear expectations for what you can afford

Putting together a budget is a vital part of the home-buying process. You and any other co-borrowers need to have a thorough and clear understanding of your savings, debts, and long-term financial situation. Set a reasonable limit for how much you can borrow.

4. Account for additional costs

In addition to the mortgage deposit and ongoing repayments, there are a number of fees you’ll need to factor in, such as stamp duty. If you plan to borrow more than 80 per cent of the cost of your property, you’ll also be up for lender’s mortgage insurance. When you draw up your budget, don’t forget about things such as home and contents insurance and maintenance costs.

5. Figure out the type of loan you need

Not all home loans are the same. There are variable loans, where the interest rate changes, and fixed loans, where the interest rate is set for a specified period. You can also get split loans, whereby you can fix part of the loan and keep the rest at the variable rate. 


How much flexibility do you want in your first home loan?

6. Consult a mortgage broker

You’ll need help figuring out some of these things, and that’s where a mortgage broker comes in. Mortgage Choice's experienced mortgage advisers give you solid advice, look at all your options and help you pick a competitive home loan.