Tips for First-Time Home Buyers
Posted On June 6, 2019
Many people see homeownership, like car ownership, as a mark of personal success. Younger and older adults dream of buying their first home. Purchasing and owning a house is a big responsibility, but people can feel secure and confident in such an investment by following these steps listed below.
Have a Financial Plan for Buying a House
Purchasing a new house and moving into it can be an exciting milestone. People should ensure that they make such a significant investment at the best possible time, given their circumstances. Home seekers can create a budget and set a maximum amount of money they can afford to spend on a house. They can search for ideal homes within this budget. A crucial part of home-buying is having a financial plan for purchasing a new home. Buyers who might need assistance funding their investment have options available to them.
In Australia, first-time homebuyers may qualify for the first home owner grant (FHOG). This grant from the government helps first-time buyers purchase or build a new home. It doesn’t cover the purchase of existing homes or renovations to homes, but a loan could cover such investments.
Buyers can search for lenders and the home loans they offer. Home loans may have a fixed interest rate, variable rate, or a split-rate. A split-rate home loan allows borrowers to divide their mortgage into a portion with a fixed-rate and another with a variable rate. If a borrower’s balance is $500,000 and they choose a 20/80 split, 80 percent of the loan, $400,000, will have a variable-rate, and 20 percent, $100,000 will have a fixed-rate. The fixed portion of a split-rate home loan lowers the chance of repayments increasing. Also, borrowers can make additional repayments.
Hire a Realtor
Most first-time buyers choose to hire a real estate agent to help them find their dream home. A professional realtor can explain the home buying process to buyers. Agents can arrange for buyers to see houses that interest them in-person, and negotiate deals on their behalf.
Make a List of Needs and Wants
Homebuyers can make searching for a house easy by looking for the specific features they want. Home seekers can tailor their searches to the style of home they prefer, be it traditional single-family homes, condos, or townhouses. Features like location, neighborhood size, the house’s layout, stairs, pools, patios, and decks are some factors that affect home-buying decisions that buyers should consider.
Get a Self-Storage Space
People tend to hire movers to help load boxes and household belongings and move them from the old home to the new one. In some cases, moving companies are dishonest; some movers steal valuable possessions and documents from homeowners. Other moving companies may withhold owners’ belongings from them and tell them to pay extra money to get their things back. While people can follow boxing and moving hacks to protect their possessions from thieves, one solution is to move their belongings themselves and keep them in a self-storage space.
Buyers can use sites like selfstoragefinders to find and reserve reliable self-storage units across the nation. This resource locates storages in homeowners’ areas. A storage space gives homeowners a safe place to store their belongings until they are ready to move them to the new house, eliminating theft by shady movers.
The completion of the moving process marks the transition from homebuyer to homeowner. Homeowners can maximize the safety of their new house by making sure smoke and carbon monoxide detectors work, and having the home electrical system inspected. After handling the financial, business, and safety aspects of homeownership, new homeowners can enjoy making their house into a comfortable new home.