10 Tips for First Home Buyers

Research the Area
attend open for inspections to get a basic idea on property values, there can be a big difference in an asking price and a selling price).

Attend a Few Auctions
(Get an idea how Auctions work go along and watch a few) see how people bid and watch the agent and auctioneer).

Beware of Underquoting
(Underquoting is illegal, it is quoting a price by an agent less than what the owner would be happy to accept, unfortunately an agent will quote between 10-20% less of the likely selling price of a property being sold by Auction).

Organise Finance Pre – Approval                            
(speak to several financiers to get the best rate, 1% can make a massive difference to your repayments, Don’ hesitate in asking what’s the best rate that is available today. Remeber to ask if there are any fees).

Obtain Quotes for a Solicitor or Conveyancer
(He or she will need them to review the Contract of Sale and request any amendments to protect your interests). If you need help sourcing a competent solicitor please leave a comment below or reach out to us through our contact page.

Consider Engaging a Buyer’s Agent
Speak to Buyers Agents with a minimum of 10 years’ experience, there are many that have little or no experience, the seller is represented so should you). The cheapest agent will cost you the most amount of money. Beware of cheap agents you are probably a better negotiator than they are.

Beware of Underquoting
(Underquoting is illegal, it is quoting a price by an agent less than what the owner would be happy to accept, unfortunately an agent will quote between 10-20% less of the likely selling price of a property being sold by Auction).

Offers from – Price Baiting
(Is another form of underquoting, it is illegal too.  It is a method where an agent offers a property to bate buyers to thinking they can buy it at the from price and the price is generally $20,000 to $50,000 less than what the owner will accept).

The Inspection
(Be careful not to show too much emotion.  If you love the property don’t tell the agent, you’ll end up paying more, show no emotion).

Submitting an Offer
(You can always increase your offer so start low, rarely can you decrease your offer).

Due Diligence
(Due diligence is paramount.  There are inspections to consider such as pest inspections, building inspections and strata inspections.  It is recommended you also speak with Council to see whether there is any known development or infrastructure that could significantly affect the value of the property).