With interest rates at a record low, owning your first home has never been easier. The banks are changing the rules around lending, while the government is updating policies to make first home ownership more achievable. So, here are a few things you need to know about how to become a first home owner.
1. Work Out Your Finances
When it comes to home loans, there is a big difference between what you think you can afford and what you can get approval for. That’s why it’s important to get a better understanding of how much you earn and how much you spend.
Think about your income and factor in these types of expenses:
Transport to and from work
Gym/ personal trainer/ sport commitments
Night outs / dinner
Credit card and the interest paid
Rent and Utilities
2. Get Your Priorities Straight
We all dream about the kind of lifestyle we want, but it’s not usually the same as the one we’re living. Make sure you’re clear on what is most important to you, so we can help you work out what type of home that will work with your budget, keeping in mind that your first home starts you on the path to owning your dream home.
It’s important to prioritise your needs. Do you want to be closer to town? Do you need easy access to public transport? Do you need space for a study or gym? Do you want your own bathroom? Is a backyard important? Do you have any pets? Is your family growing?
Rank your top 3 priorities in order, so we can help you choose the right property for your current financial status.