A Few Tips for Buyers

Know your figures. Make sure you have an accurate and detailed budget which takes into account all expenses associated with property purchase, including stamp duty, council rates, and other fees.

Obtain Pre-Approval from the bank of your choice. It is very important and powerful in negotiating to know exactly how much you have to go shopping with. Always be comfortable with the amount you are paying.

Contact agents who know the area. Ask them questions about the area if you are unsure. A good agent should ask you what it is you are looking for and offer properties to consider.

Buying a home is probably the biggest purchase you will make so it pays to make sure your investment is secure. Make sure that when the agent prepares the contract you make it subject to finance, building inspection and pest inspection.

If first time Investing, there is a lot to consider, however once again  – know your figures. Go through them with your bank manager and accountant. They can explain the weekly out of pocket expenses. Buy close to public transport. The newer the property is the better as depreciation can play a major role in reducing the out of pocket expenses. The majority of depreciation occurs in the first 7 – 10 years.

October 2012