I wish to purchase my home at some point within the next 3 years

Buying a home may be one of the largest financial commitments you ever make, bringing about a life-changing experience that can offer lifelong security and happiness. As a first time buyer you it will be beneficial to take a calculated approach in deciding which home to buy. It’s a very exciting engagement in which you will be busy with house viewing and choosing the perfect location and premises. Such a commitment needs careful planning, preparation and execution. Fortunately, house buying is separated into fairly standard stages. This allows you to break everything down into manageable steps and plan far ahead so you always know what’s on the horizon.

 

The basic steps of buying a home are:


Saving for a deposit

So you are thinking of buying your own house! That’s fantastic, it’s one of the most exciting experiences in life and we are here to help you out. Keep reading ahead as we guide you through house buying and financing.

The first step in preparing to buy a house is to start saving up for the deposit. Having this in hand is one of the key steps to get you off to a flying start, so start thinking early if you are looking to buy a house in the coming years. If you manage to save a good deposit you will have a better choice in property types and access to exclusive locations which may have higher value.

You can get a typical home loan for up to 90% of the value of the property. The loan can be payable for up to 40 years, unless you decide to pay it off early.

Planning for the future

While all house buying is essentially planning for the future, we want to focus on helping you get your own financial affairs in order and getting used to managing home related expenses.

One of the most important steps to get started is to pay off any debts you can, ensure your credit score is good and begin collecting pay slips, tax returns and any other financial paperwork that could support your loan application. The earlier you can do this, the more prepared you are when meeting your bank manager.

Even if you do not have any other loans or pending expenses, beginning to save the equivalent amount of a home loan each month is a great way to get in the saving habit. This will prepare you for home ownership and provide some essential cash savings to get you started once you move in.

Selection criteria

Picking the right home for you is not a simple task, given the many choices on the market. Keeping a realistic checklist can help you better narrow down property lists and work within budget. 

It’s useless visiting countless properties that are out of budget, you will only get disappointed. Create a selection criteria list and keep the following in mind:

  • Budget bracket
  • Your preferred locality, close amenities and neighbourhoods
  • Property type and size

Start the search

Once you have settled on a deposit amount and create a budget bracket in which you find comfortable its time to start your search. Be realistic, but don’t be afraid of explore options as there are always deals to be done with sellers.

Use your selection criteria to decide on which properties to look at initially. Once you start your search you’ll find out that priorities change and you start learning to refine the search to better suit your needs.

Start your search on the internet to gather as much information as possible, then go to the streets to get a real feel of the property. You’ll find that you’ll love it and you will become adept in property selection!

Find a good real estate agent

Getting help from the experts can be a great source of expanding your network. Real estate agents have a deeper understanding of how the market operates and what premises are right for your required budget.

They can help find the perfect property, assess the asking price, assess true market value if necessary, negotiate the sale price and arrange the initial steps of the sale.

The more prepared you are before you meet your agent, the harder they will work for you. If they see you’re serious, prepared and ready to do business, they will work hard on your behalf. That’s just one of the reasons why good preparation is key!

Checking loan affordability

While you’re saving, refining your search criteria and checking the market, you can look more into home loans and the various products available to you.

We offer two ways of financing your new home, a traditional home loan and the APlus account. Check out the next section for an overview of each.

Hit the streets

Once you get onto the streets and start visit properties you will find out which criteria to factor in, and which are the most important. You will become more informed and your opinion might change throughout the months of search, but you will make an educated choice.

There is simply no substitute to viewing homes for getting an idea of what you can afford, what kind of home works for you and whether you really need that extra bedroom or pool.

Move on to the next section when you’ve found your dream home!

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