With the financial benefits of the real estate market never more apparent than during this current boom, it’s little surprise the enthusiasm of first-time buyers is helping to grow the entire market.
As an experienced local agent, I always take the time to work with first-time buyers to ensure they understand the process of purchasing property and the potential impact on their lives.
While your desire to get on the property ladder may be off the charts, you should still think it through carefully. So below are five important issues you should consider before you make the biggest and best purchase of your life.
Motivation
Have clarity on why you want to purchase a property. It could be because you’re tired of paying rent, or want to settle down more permanently. Think about your personal wealth goals and how these should be achieved while maintaining a satisfactory lifestyle.
The budget
Organize a loan before starting a search, as this will set your spending limit. You might be able to discuss your goals with your parents or family and determine if you have any additional assistance available to you.
Reality check
Break down your needs versus your desires. This way, you’ll be able to identify affordable homes that meet your most essential criteria. Ruling out potential homes because they’re not perfect will lead to a long and fruitless search if those features can’t be afforded on your budget.
Think ahead
If you’re cruising the market for entry-level, one-bedroom units, consider when you’ll need to upgrade. This is especially relevant for young couples planning a family. Perhaps it’s better to buy bigger but compromise on location.
Target locations
Research the neighborhoods where you’d like to purchase. Ask yourself whether these locations suit your lifestyle. If you buy in far-off neighborhoods, you may grow tired of catching trains and cabs to entertainment venues or find this quickly becomes costly.