Buying a property is probably the most life-changing and perhaps the most expensive investment you make in your lifetime. That is why there are lots of factors you must consider before you finalise your decision. Whether you are a first-time buyer or looking for an investment, it is essential to undergo due diligence before taking the home-owning process.
Before you purchase what you might think is your dream house, you have to consider not only the present but also your plans. Having a new home can be pretty exciting. However, it would be best if you too were careful so you won’t have to regret your choice in the end.
In this article, we have put down the essential things you need to know about home buying.
The cost of buying a house
When buying a house, buy the house you know you can only afford. When you do the numbers, you must identify clear and immovable limits. When you are at an auction, it can be easy to get swayed to raise your hand for an additional $5000 that you don’t have especially if it’s the house you have always wanted.
The most important step before buying a house is to initiate a financial discipline. Do not over-extend yourself. It may be a perfect house, but if you can’t afford it, there won’t be any consolation. What if you won’t be able to cover your mortgage payments as well as your living costs?
It would be best to seek advice from an expert like a professional financial advisor or a lender to help you get the scope and full costs associated with buying a house.
The type of property and the neighbourhood
While buying a home involved a roller coaster of emotion, you must have a clear sense of what you are looking for in a house. Consider making a checklist of your important and non-negotiable requirements. Here are some recommendations that you should include in your list.
- Location – can you manage driving from and to work? Or are your near public transportation?
- Children – if you have kids or planning to have one in the future, you have to consider the neighbouring schools. Find out if there are parks or playgrounds in your area. Are there lots of families with children living near you?
- Shopping markets and restaurants – Can you walk to restaurants to have outside dinner or walk to stores for grocery shopping? If not, will it be easy to get to these places by car or using public transport?
- Amenities – think of what is important you or part of your daily or weekly routine. Whether you want to be near the beach or a library or a gym, you have to make sure the area has the things that matter most to you.
It can also help you if you conduct research about the area or you can ask the neighbourhood about the advantages and disadvantages of the site.
As soon as you visit the property you are planning to buy. You’ll surely get an emotional response, may it be positive or negative. If you feel negative about the house, it’s easy to walk away. But it’s not the same case when you feel positive. A positive feeling can misguide you; that’s why you should not get too emotionally invested. It’s important to conduct structural checks, investigate the utilities and find out what other issues are there in your area.
A building inspection in Dandenong can not only save your money but can also save your life. There are wrong things about the property like faulty wirings, pests infestation and shaky foundations which you can’t see with your naked eyes. You need to hire a trusted building inspector when you are considering buying a new home. For an affordable price, you will able to catch things you can’t see that might cost you a fortune in repairs and renovations.
Negotiate with confidence
The worst thing you can do when buying a home is to rush your decision-making process. Do not feel pressured to say yes right away. Yes, you can negotiate with a firm price, but if you feel that the deal isn’t right, then it’s okay to walk away. Remember, there are other properties that meet your requirements.
You have to work on your timeline and make sure that your demands are met in accordance with your standards. You should not feel like you need to rush your purchase. Only buy the house when you feel satisfied and confident.
To make the home buying process easier, surround yourself with a good team of people that has your best interests. They should be able to guide you through your finances and help you make the best decision.