When it comes to the type of property, size and location of the home you wish to buy, many first time buyers find they have to compromise in some way. So, before you start looking it’s important to consider the following:
Type of Property
A free-standing home in an established, leafy neighbourhood near a CBD, great transport, family and friends might well be out of reach the first time around. If convenience is important, you may be looking at apartments instead of houses, remembering that often the closer you get to a CBD, the higher the demand and price will be. Your budget, for example, might only stretch as far as an older, walk-up unit if you want a property within 20 minutes of a major capital city. If you definitely want a house and garden, depending on where you are, you may be restricted to the outer suburbs or regional areas.
Research Your Location
When considering an area to buy in, look up suburb demographics and price trends over the past ten years, plus existing and planned infrastructure, such as public transport, shopping centres and schools. If property values in one suburb have really taken off in the past five years, find out why and consider whether neighbouring areas have similar potential. Once you know what you can afford, you can get a much better idea of what type of home you can buy and where you can live.
Plan for the Future
You should also consider what is most important to you now and what you’ll want over the next five years. Are you looking to be part of a community that’s similar in age group to you? Is it important to get to and from work as quickly as possible or can you cope with a long commute, providing you have a great lifestyle when you get home? Are you single? Do you have children or are you starting a family? All of these, in addition to your budget, will influence where and what you buy.
If you have any questions, or would like to speak with one of our qualified mortgage brokers about your first home purchase, call or email us today.