5 Questions Potential First-Home Buyers Should Ask Themselves

Questions Potential First-Home Buyers Should Ask Themselves

As a new home owner, you may be asked by friends and family interested in buying their first home what to consider before diving in. Here are five tips you can pass on. 

1. Is it the right time?

Moving house can be stressful and time-consuming, so consider whether it’s suitable right now. Will your children need to move school? Are there work obligations that could make a move challenging? If you’re planning major life changes like having a baby, you’ll need to factor these in.

2. Am I ready?

When considering your financial situation, do you have debts (like a personal loan) that you’ll need to manage? Perhaps you can consolidate these into your home loan, or pay off the credit card first. You’ll need to ensure your deposit is big enough to both purchase your new home and cover the costs of buying.

3. How much money do I need?

While the purchase price of your home will be your biggest cost, there are other expenses to pay. Some other costs include stamp duty, home owner’s insurance, legal fees and removalists.

4. Can I afford the repayments?

Determine what you can afford by taking your income and deducting regular expenses. Add home-ownership expenses, like rates, and allow for some unexpected costs. Once you understand how much you can afford, work out how much you can borrow using an affordability calculator.

5. Are there any grants that I can access?

The government’s First Home Owner Grant (FHOG) scheme may provide a grant of up to $10,000 to first-home owners who meet certain criteria. Depending on which state or territory you’re in, and if you’re building your home, there may also be subsidies or tax exemptions available. See NT government web site.

If you plan to buy a house and land package in the Northern Territory (NT), you may be eligible for an exemption on stamp duty.

You can do this under the House and Land Package Exemption (HLPE) see this link: https://nt.gov.au/property/home-owner-assistance/get-stamp-duty-exemption-on-house-and-land-packages

HomeBuild Access gives you an opportunity to access low deposit home loan options for:

  • new-built homes
  • or for you to buy vacant land and build your own home

Here is the link: https://nt.gov.au/property/home-owner-assistance/low-or-middle-income-earners/homebuild-access

 

For more information on a Mortgage Broker for a Home Loan in Darwin call Nick Kirlew today on 0447 499 794. You can access our Mortgage Calculator here.