Owning a home is something that many hard-working Australians dream of; and for most people, home ownership is within closer reach than you may think! If you’re interested in starting the home-shopping process in Melbourne, you may be wondering where to begin. By keeping a few key pieces of advice in mind as you prepare to enter the world of home ownership, you’ll be in a much better position when it comes time to buy.
Know Where You Stand
Start by assessing your finances. After all, there’s no point in looking at houses if you don’t know you can get approved for a loan. Most banks will be looking for financial stability and job stability, so take some time to review your income and assets, as well as your existing debts and monthly expenses. This will help you get a better idea of where you stand as well as how much you can afford on a monthly house payment. Utilise one of the many free budget planners to gain a more accurate picture of your finances.
Maximise Your Deposit
While saving enough to put 50% down on a home may be asking a bit much of a first-time buyer, keep in mind that you will save a significant amount of money in interest down the road if you maximise your down payment. After all, the larger your deposit, the less you need to borrow and thus the less you’re paying interest on over the term of the loan.
Take Advantage of Grants and Aid
There are all kinds of great programs and grants available to first-time home buyers in the Melbourne area, so don’t forget to do your research and take advantage of any that may apply to you. The First Home Owner Grant is the most common grant that you will likely be eligible for (depending on your income). However, it’s important that you apply for this grant as soon as possible (ideally when you apply for your mortgage) so that it can be settled by the time you close on your home.
Don’t Assume You Can’t Afford to Build
If you’re dreaming of moving into a brand-new home, but don’t think it’s within your budget, you may want to think again. Mimosa Homes has an extensive selection of modern, spacious and affordable homes to suit all budgets and size requirements. New homes are more affordable than ever these days, especially for first time buyers. This is especially true when you consider the concessions off stamp duty that you can enjoy when you rely on home builders to construct your home from the ground up, rather than buying an existing home for sale. For further money savings, you might also consider exploring fixed price house and land packages, which also save you the time and hassle of finding and securing that perfect piece of land.
The process of buying your first home can be a whirlwind, but it’s also a very exciting time. To find out more about new homes in the Melbourne area, reach out to our team of home builders at Mimosa Homes today. We’d love to design your first home!