Buying your first home is a major milestone, and it can feel like a complex process. However, with the right guidance and preparation, it can also be an exciting and rewarding experience. In this guide, we’ll walk you through everything you need to know, with a special mention of how LiveInvest can help as a finance broker.

Your Budget and Deposit

Before you start dreaming about your perfect home, it’s essential to figure out your budget and how much deposit you need. Typically, you should aim for a deposit of at least 20% of the home’s value. However, some lenders may accept lower deposits with the addition of lenders mortgage insurance (LMI).

Buying your first home requires you to consider all the costs involved, not just the purchase price. These can include stamp duty, legal fees, and moving expenses. LiveInvest helps you assess your financial situation and determine a realistic budget.

Can I Use a Mortgage Broker or Apply Directly with a Bank?

This is a crucial question when buying your first home in Australia. A mortgage broker or a First home loan broker like LiveInvest can provide several advantages: 

1. Access to Multiple Lenders

Brokers have access to a wide range of lenders and help you find an affordable deal.

2. Expert Advice

They understand the market and can offer advice tailored to your situation.

3. Convenience

They handle much of the paperwork and negotiation on your behalf.

Applying directly with a bank means you’re limited to their products, which might not be the best fit for you. Using a mortgage broker simplifies the process for many first-time buyers, potentially resulting in savings along the path to homeownership.

Explore Your Home Loan Options

When it comes to buying your first home, there are various loan options available. Here are a few common ones:

1. Fixed-Rate Loans

You can count on these loans to have a steady interest rate that stays the same for a set period. This means that your monthly repayments will be predictable and consistent.

2. Variable-Rate Loans

If market rates decrease, the interest rate on your loan may also decrease, which could be advantageous.

3. Interest-Only Loans

For a set period, you only pay the interest, which can lower initial payments but doesn’t reduce the principal amount.

LiveInvest can help you navigate these options and find a loan that fits your financial situation and goals.

Do Your Research

Before you dive into the home buying process, do your homework. Research the areas you’re interested in, considering factors like proximity to work, schools, public transport, and amenity. Understanding the local market will help you set realistic expectations and make informed decisions.

Online real estate platforms, local property reports, and attending open houses can provide valuable insights. Keep in mind, purchasing a house is a major investment, and the more knowledge you have, the smarter your decisions will be.

Get Your Finance Pre-Approved and Start House Hunting

Getting your finance pre-approved is an intelligent move. It shows sellers that you’re a serious buyer and gives you a clear idea of how much you can afford. LiveInvest can assist in securing pre-approval, making the house hunting process smoother.

Once pre-approved, start looking at properties within your budget. Keep a checklist of must-haves and nice-to-haves to narrow down your options. Explore at your own pace and check out several properties until you discover the one that truly clicks with you.

Finding a Conveyancer

A conveyancer is a legal professional who manages the transfer of property ownership. When buying your first home, having a good conveyancer is crucial. They handle the legal paperwork, conduct property searches, and ensure the transaction is smooth.

LiveInvest can recommend trusted conveyancers to help you through this process, ensuring all legal aspects are covered.

Make an Offer

Once you’ve found the perfect home, it’s time to make an offer. This can be a nerve-wracking step, but your real estate agent can guide you. Get ready to bargain with the seller to find a price that works for both of you.

When your offer is accepted, you’ll usually need to pay a deposit to secure the property. This is another area where having a pre-approved loan can be advantageous, as it demonstrates your financial readiness.

Finalise Settlement

Settlement is the final stage of buying your first home. During this process, your conveyancer will work with the seller’s conveyancer to transfer the property title to your name. This is also when the remaining balance of the purchase price is paid.

LiveInvest can assist in coordinating with your lender to ensure funds are available for settlement, making the process seamless.

Building and Pest Inspections

Before finalising your purchase, it’s wise to conduct building and pest inspections. These inspections identify any potential issues with the property that might not be visible during initial viewings. They can spare you from future headaches and surprise expenses.

If you come across any major issues, you could discuss lowering the price or ask the seller to address them before finalising the deal.

Move In and Manage Your Mortgage

Congratulations! You’ve completed the process of buying your first home. Now it’s time to move in and start making your house a home. But the journey doesn’t end here. Managing your mortgage effectively is key to long-term financial health.

Set up a budget to manage your mortgage repayments and other household expenses. To ensure you don’t miss any repayments, think about arranging automatic payments. Regularly review your mortgage to see if there are better deals available, and consider refinancing if it benefits you.

LiveInvest can offer ongoing support and advice on managing your mortgage, ensuring you stay on top of your finances.

If you have any questions or need assistance with your commercial property loan, feel free to reach out. Congratulations once again on your new home – we’re thrilled to be part of your journey!

Conclusion

Buying your first home is a significant achievement, and having the right guidance can make all the difference. From setting your budget and securing pre-approval to finalising the settlement and managing your mortgage, each step is crucial.

Using a mortgage broker like LiveInvest can provide expert advice as well as access to various lenders and help streamline the entire process. Whether buying a house or exploring commercial property investments, LiveInvest is here to assist you every step of the way.

So, take a deep breath, do your research, and embark on the exciting journey of homeownership with confidence. With the right