BUYING YOUR FIRST HOME? UNDERSTANDING THE FINANCE.
Buying a home is exciting, and when it’s your first home that excitement reaches a whole new level.
How much can you afford?
What lifestyle you want?
Where would you like to live?
Should you buy established or build a new home?
What are the costs of buying your first home?
If you decide to build a new home do you buy the land first or a complete package?
Where do you start?
In the Progress 10 Steps to Buying Your First Home, we are going to discuss all of those questions and more to help you through the decision and buying process, and to avoid unnecessary pitfalls and mistakes.
Let’s start at the beginning – How much can you afford?
It’s important to understand your current cashflow such as your income, expenses and debts to determine your surplus income and therefore comfort levels for making mortgage repayments.
How much deposit you have saved, or what deposit do you need to save over a qualifying period to be considered genuine savings by lenders is also important in understanding your capacity to repay a loan. Most lenders require at least three months of savings to be held or accumulated in a savings or term deposit account. Keystart require 1% of the purchase price to be genuine savings and traditional lenders such as banks at least 5%.
No one knows your finances better than yourself. Take a few minutes to calculate what your current cashflow is by using our free budget calculator. Be honest and detailed in your inputs to avoid over
Progress Assist with and unbiased, no cost service can help you attain the best lifestyle Progress Assist has access to over 4000 house and land packages, 40 of Perth’s leading builders and preferential and exclusive blocks not available to the public.
In our next blog we will look at block selection and house design. If you have any questions in the meantime relating to buying your first home let us know.