06/08/2024
Preparing yourself to buy a house - it's a journey!
Don't be caught unaware - You must do these things 1 thru 6 to plan & prepare yourself for a smooth purchase process.
☑️ My 6 to-do's before searching for a house
1️⃣ Get a high-level budget together
Getting real with personal expenses and income is most important in applying for a mortgage. This is called serviceability. Apart from credit rating and LVR (eg. 80% loan to value of the property), it is the serviceability that lenders look at.
2️⃣ Be assured of agreement with your partner (especially budget, type of property and location)
If you are purchasing with a partner, you both need to be clear on each other's wishes and expectations before you progress any further.
3️⃣ Talk to a mortgage broker and get a pre-approval
A mortgage broker will help you to apply for a mortgage. They will look at your situation and calculate your serviceability for you, and then approach a suitable bank or other lender on your behalf. Once satisfied, the lender will then issue you a pre-approval.
4️⃣ Understand which area is the best for your budget and type of property
A pre-approval will set the price bracket in which you can search. You will also be able to act quickly once you have found the perfect house.
5️⃣ List your non-negotiables in your new house
Once you have an idea of the price range you can afford, it is a good idea to go into a little more detail as to the wishes of you and your partner eg. pool, flow-thru to terrace, double garage, near school.
6️⃣ Consider infrastructure in your preferred areas (schools, shopping, transport, etc)
Homing in on the right area also involves looking at needed infrastructure. If you have children, for example, you will usually need to be near a school. If you commute, proximity to a train station or bus stop is necessary. Questions as to nearby shopping centres and entertainment centres and parks are also worth thinking about.
Manage these 6 action points and you have a much greater chance of securing your dream home. 😊
