So, you have made a great decision to buy your very first home! (Congratulations!) We know there’s so much to think about but don’t worry, we’ve put together 4 key things that no one tells you about but you should really keep in mind as a first home buyer. These will help you stay on track and have the best home ownership experience possible.
1. Getting Finance Ready
Many first home buyers have limited finances so most of us start out as renters because it doesn’t require savings or a big investment upfront.
You may be in the early stages of your career, or you may be trying to buy a property on a single income. So, the basic premise for every first home buyer is generally to buy the best house you can afford today.
We have made it super easy for you to find out if you can get your own home for what you pay in rent, just take our 2 minute Rent vs Buy Quiz.
2. Take Advantage of Financial Perks
In WA, eligible first home buyers are entitled to receive a one-off Government Grant of $10,000 for the construction of a new home. (Woo Hoo!) There are some other nice financial perks for first home buyers such as stamp duty exemptions depending on the value of your home. More information about stamp duty can be found on the WA Department of Finance website www.finance.wa.gov.au.
3. Understand The Settlement Process
“The Settlement Process” doesn’t sound very fun but Settlement is the final stage in the purchase of your new home or block of land and understanding this process is important to ensure that extra expenses don’t occur. (save those dollahs!) When building your new home, it is important to note that there is no settlement at the end of the build as that occurs when you purchase your block of land and organise your building contract.
Settlement agents must be licensed to operate in Western Australia and provide you with a written costs disclosure which sets out the maximum amount they can charge for their services. More information on settlement agents can be found on commerce.wa.gov.au.
4. Organise Insurance
The builder’s insurance will only be active until the final handover stage so it is important to plan and organise your building and contents insurance before you take final possession of your new home.
Banks want to safeguard their interest in the property, as well as your own, therefore you need to arrange your own insurance for the bank to release the final payment.
Don’t forget, Aussie Living Homes are first home specialists who live for helping first home buyers into home ownership without stress. We know you have just taken a big step to build your future and that can be overwhelming but with consistent guidance and advice from our team, you can rest easy knowing your new home is in great hands.
Still unsure about getting into your own home? Take our 2-minute quiz to find out if you are eligible for home ownership.