Many people dream of owning a house but get intimidated by the whole process and legal issues that come with it. So, if you, like many others, find the entire process of buying a house complicated and difficult to navigate, this guide is for you! This will help you streamline your efforts, save money, and get your dream house without many issues.     

Steps to follow when buying a house

1. Understanding Australia’s housing market:

Navigating the Australian housing market can be quite challenging, particularly for first-time buyers. It’s important to do the research and understand the current trends that will help you make informed decisions. Factors such as interest rates, economic conditions, and government policy; all have a huge impact on the housing market. For instance, if interest rates are low, it may be a good time to invest in a property as you may have a chance of getting a better mortgage deal. Likewise, government policies including stamp duty exemptions and first-home buyer grants can make buying properties affordable. 

2. Setting up a budget and getting pre-approved for a loan:

 Before you commence on your house-hunting journey, you must set a budget and get pre-approved for a loan. It will give you a clear idea of your budget and help you narrow down your search. As for getting pre-approval for a loan, you need to provide your financial information to a lender, who will assess your creditworthiness and offer you a loan estimate. You must take into consideration all the costs associated with buying a property, including stamp duty, legal fees, and inspection costs while setting up your budget.

3. Choosing the right type of property that fits your needs:

There are several properties to choose from, including apartments, standalone houses, and townhouses. You must consider your lifestyle, budget, and plans for the future while picking a property. For example, an apartment or a townhouse would be more suitable if you are looking for a low-maintenance option . However, if you plan to start a family or already have one, opting for a standalone house with a lawn may be a better choice.  
also read : First-Time Home Buyer Grants and Assistance in Australia

4. Surveying neighbourhoods and locations:

The location of your property has a significant influence on the quality of life you’ll lead and has a direct impact on the value of your investment. Therefore, when exploring neighbourhoods and locales, one must consider factors like accessibility to public transport, proximity to schools, amenities like shops and restaurants, etc. You may also want to probe into the crime rates and the all-around safety of the area you’ll be living in. Visiting the neighbourhood you’ll be moving into, at different times of the day, is a good way of assessing what it’s like to live there.

Also Read: How To Find An Investment Property?

5. Proposing and negotiating the price:

One must consider the current market conditions and the seller’s asking price before making an offer on a property. You may want to offer a lower price if the property has been on sale for a while or if there are any issues about the property that need to be dealt with. You must also be prepared to negotiate with the seller and potentially raise your offer as and when necessary.

6. Conducting thorough inspections and due diligence:

Before concluding the acquisition of a property, it’s crucial to conduct a thorough inspection and do your due diligence. It comprises getting a building inspection report, reviewing the strata report (when purchasing an apartment or a townhouse), and searching for any zoning or planning constraints that may have an effect on the property. It’s important to be mindful of all the issues regarding the property before finalizing the investment.

7. Completing the purchase and settlement:

After you’ve made your offer, bargained the price, and conducted your due diligence, the last step is to conclude the purchase and settlement. This pertains to signing the sale contract, paying the deposit, and arranging for the transfer of ownership. You may also have to hire a settlement agent to help work up the legal aspects of the purchase. You must be aware of any deadlines or conditions mentioned in the sale contract, and be prepared to pay any supplementary charges associated with the purchase, like stamp duty and legal fees.