When it comes to buying property, having all your ducks in a row at an early stage can take the stress out of this important purchase. Take a look at our six key steps to see what’s involved.
1. Know your borrowing capacity
Knowing how much you’re able to borrow will give you a realistic price benchmark when searching for your ideal home. Rather than ‘guestimating’ how much you can borrow, check out our 'How much can I borrow' calculator for a rough estimate. Better still, make an appointment with one of our brokers for a more tailored picture.
2. Pinpoint your preferred location
With a clear idea of your borrowing capacity you can focus on locations that fit your budget and goals. If you’re an investor , look for suburbs with strong tenant appeal and capital growth prospects. As a home owner, consider whether a location meets your needs, for example, has good local schools or nearby shops.
3. Add up the extras
A property purchase comes with a number of upfront costs like stamp duty and legal fees. Our ‘Stamp duty’ calculator can help you work out what you could be up for based on the property type, value and state you live in. If you’re upgrading , don’t forget to make allowance for expenses associated with the sale of your current home.
4. Check the numbers stack up
It’s important that you are able to manage your mortgage comfortably and continue to live the lifestyle you want. It’s also important to consider how you will manage any unexpected expenses. We can help you devise a budget to make sure you can manage your loan repayments and will not be financially overstretched.
5. Gather a team of experts
When you find the right property you need to move fast, so it’s important to have a team of experts ready to help.
- A solicitor/conveyancer will be needed to help you handle the legal side of the purchase.
- A Mortgage Choice broker will discuss your loan options and help you find a loan that suits you. We can also organise loan pre-approval and take the legwork out of the process by doing all the paperwork and running around for you.
6. Plan ahead
After making such a large financial commitment, you may need to consider certain insurances to protect yourself and your assets, but it's also important to start planning for the future. Our in-house Financial Adviser , Matthew La Rocca can help you to assess what protection you need, and how to achieve your goals. At Mortgage Choice, we believe planning for the future is so important at this stage, which is why your first meeting is complimentary, and of course there is no obligation to proceed.