In 2023, it might be time to think about buying a home. If you’re thinking about getting into the housing market, here are some of the things you’ll need to prepare yourself for homeownership in 2023.
Complete a Homeownership Assessment
Once you have decided to begin your journey into homeownership, it is important that you assess your current situation as well as any existing debts and expenses. This will help determine whether or not there are any gaps in your finances which might prevent your application from being accepted. It is also important to keep track of any savings or investments that may be currently held by other parties, as these may impact your ability to meet down payments and closing costs associated with buying a home.
If you are looking to enter the property market, it can be beneficial to receive a homeownership assessment. This will review your current living, employment, and financial situation.
Once you have completed the homeownership assessment, it will determine whether you are qualified to purchase a home, and how much you can afford, or provide insight on any limitations. You can then connect with a mortgage broker or lender who can determine which option is best for you and guide you into receiving finance for your home. They will also be able to provide other important information, such as the interest rate and fees that come with the loan.
Limitations may include low savings, bad credit, employment status, or a debt-to-income ratio that is too high.
The key benefit of receiving a homeownership assessment before you enter the market, is that you will discover any limitations that banks deem you may have ahead of time.
Click here to receive a free homeownership evaluation to determine what your future in homeownership holds.
Check Your Eligibility For Current Government Initiatives
As a first-time buyer, the first step is researching current Government Initiatives to see if any can apply to you. Although you may not use all the currently available government assistance, it is important to know what Government assistance can be made available to you.
The First Home Owners’ Grant is a QLD Government Initiative that assists first-time buyers in buying or building a brand new home. The FHOG is valued at $15,000 and can be used as part of your deposit. Each State and Territory’s FHOG may vary as it is a State Government Initiative, so it is important to research for the state you are looking to purchase in.
The First Home Guarantee is a Federal Government Initiative that aims to help eligible first-time buyers save for a deposit and purchase their first home faster. If you are eligible for the First Home Guarantee, you can enter the property market with a as little as 5% without needing to pay Lender’s Mortgage Insurance (LMI). This scheme is available for eligible homeowners across Australia, as long as all applicants meet the eligibility criteria and the intended property to be purchased fits within the property threshold.
The Family Home Guarantee is a Federal Government Initiative that will support eligible single parents with dependents to purchase their family home. Whether you are a first-time buyer or a previous owner-occupier looking to secure your family home, this is the Grant for you. The Family Home Guarantee will support eligible single parents to purchase their family home with a deposit as little as 2% if it is within the property threshold.
The First Home Concession and First Home Vacant Land Concession are QLD Government Initiatives that assist first-time buyers with transfer duty, also referred to as stamp duty. You must meet the eligibility requirements to be eligible for the First Home Concession or First Home Vacant Land when you buy or acquire a home.
Most current Government Initiatives can be used in conjunction if the applicant meets each Grant or Scheme’s eligibility criteria. Click here to see what Government Initiatives you may be eligible for.
Connect with an Industry Expert
Although it may be your first time purchasing a home, it won’t be the first time an industry expert helps. You want someone who understands the market and has experience in selling properties so that they can give you advice about what to buy or avoid so you feel at ease throughout the process.
When you are purchasing a home, industry experts you may require assistance from include:
- Real Estate Agent
- Buyer’s Agent
- Financial Broker or Bank Representative
- Builder
- Conveyancer
- Build & Pest Inspector
Each expert has an important role to play throughout your homebuyer’s purchase. Without each expert working together for you to achieve your goal, the purchase won’t be a smooth process.
At QPG, we pride ourselves on being able to support all buyers as we are a one-stop property shop. We can guide you in the right direction and connect you to industry experts that can assist in your property purchase. Click here to view our property services.
Your Next Step
Bottom line, the best advice we can give is to talk with industry experts and get yourself educated with proper information to help you along the way. Research what your financial and lifestyle needs are, as well as where you want to live and how much you can afford. Meeting with a professional is always a good idea (a buyer’s agent or mortgage broker), because they know the current housing market and can advise you on everything from location, budget, negotiation, and more! Whatever questions you have will be answered when researching and planning for your property purchase.
Hopefully, these steps will help you in your search, and if there’s anything we can do to help you along, don’t hesitate to contact us!