6/27/2019

7 Signs You Are Ready To Buy Your First Property



Buying your first property is probably the biggest financial decision you have made in your life up that point, and it comes with both benefits and problems. Home ownership advantages may include tax benefits, personal pride in having truly your own place and financial security but knowing when to take the plunge is a difficult decision.

1.   The Right Moment In Your Life
Some people think that in renting they are throwing money away, which would be better off going towards buying their own place and want to get on the property ladder as early as possible. Buying a property though comes with its responsibilities, so you may be better off renting for a period, while you work out what you are doing with your life. Many young people like to travel, so it may be advisable to think about buying when you have made the decision that you are ready to settle down in one place for the foreseeable future. It is reckoned that for the purchase to make financial sense, and to make some profit, you need to be staying put for at least five years.

2.  Financially Stable
Buying property is expensive. Trying to buy, fill and maintain a house on a really tight budget is not a smart move, as you only need one disaster, or a couple of interest rises to put you in financial straits. Having existing loans or having to use a credit card to make it through to payday every month means buying a property might not be wise. Only when you are aware of and can afford over and above what you anticipate, does it make sense to proceed.

3.   Knowing What You Want
You will be a very lucky individual indeed if you not only know exactly what you want, but also manage to find it straight away. Once you have a clear idea of which area and what aspects the property should have, like a garden, a view, a certain number of bedrooms or bathrooms, you are ready to start the hunt.

4.   Bit Of A Handyman
Possibly the biggest difference between being a renter and a homeowner is the responsibility which comes with your new property. Dripping taps, electrical problems and leaky ceilings are now your problem and yours alone. Calling in professionals for everything that goes wrong is going to strip you of all of your available cash very swiftly. When you are confident in your ability to tackle maintenance and repair issues yourself, you are better prepared to make the ownership decision.

5.    Knowing The Market
 A mortgage may cost you more per month than renting a similar property, so you want to make sure you know the factors impacting your selected area. What is the economic outlook for the surrounding area? Are employers moving in and what is happening with demand for housing in the area? If your chosen location looks to be booming, with the subsequent expected rises in rents and property prices, your purchase is likely to be a good investment and you will be making a good decision.

6.  Knowing The Next Steps
Buying a property is not simple and you are going to need professional help in finding the right mortgage, a good realtor to help you find the right property at the right price and a thoroughly professional conveyancer like https://www.rivercityconveyancing.com.au/ to ensure you end up with legitimate title. 

7.   Emergency Funds
Once you have the previous points under control, you are almost ready to make that purchase. However, a massive point which many ignore to their peril is to make sure you have a pot of cash left after once the purchase is made, because life has a way of throwing expensive emergencies at you when you least expect them.


Once you have this too, you are indeed ready to set foot on the property ladder.

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