Buying tips
Getting started in property investment
WHEN setting out to buy a home, one of the key essentials to remember is to DO YOUR HOMEWORK.
So, you have decided on a path to invest in your own home or an investment property. Ask yourself some questions: What type of home, what location, what price bracket, what are the major considerations and in what time frame.
If you can provide an answer to these five questions then you are in a good position to start looking. However, you need to do your homework to prepare you for future discussions with agents and vendors.
Start by checking out the real estate-based web locations such as www.realestate.com.au or www.domain.com.au. These sites will give you a place to start – a kick-off point to get familiar with the real estate jargon and terminology.
They also give you an idea about what most properties include in the transaction, what are considered luxury extras, the average size of blocks, if 3 or 4 bedroom homes are considered the average and so much more. More importantly, you start to get an idea about prices and what you may have to pay for your `dream’ property.
It is also a good idea to make an appointment with your bank manager to see what price range is most suitable for you. This will also allow you to gauge an idea of repayments to help when determining your future budget. What you can afford, will dictate future offers you may put forward on potential properties, so make sure you know what that figure (or close to).
Enlisting the help of an agent can assist greatly, especially if you are knew to investing or a first home buyer.
The agents have a wealth of knowledge to pass on and their skills are based on acting as a mediator in property transactions between buyers and sellers.
Don’t be shy when seeking information or assistance in regard to your property search. The more questions you ask, the more information you will receive but be careful of `information overload’. If you talk to too many people who all give you a wad of information, you can actually talk yourself out of going through the entire process because you become too confused. `Too hard, let’s leave it for a while’ … now does that sound familiar?
Yes you need information but target it and make sure your questions are being answered and you are not being led off track from your original goals.
Always remember, in most cases, there is room for negotiation so give it a go. They can only say `no’ or, in most cases, they can make a `counter offer’ and that may be the price that suits your budget.
