Five steps to buying your dream home
It’s time. You are sick of renting and paying someone else’s mortgage. You’ve been saving hard and feeling like it’s time to take that first step on the property ladder. But where do you start?
Buying your first home can feel overwhelming. There’s so many options with lenders, are you entitled to Government assistance? How do you add up your deposit? That’s where working with a mortgage advisor can make life so much easier. We help you through each step, so the first thing to do is get in touch with our local mortgage advisors.
Our five steps below outline what you need to know when it comes to purchasing that dream property.
Nail your deposit and budget
The first thing to do is work out how much exactly you have. This money can come from a number of places including your cash savings, KiwiSaver withdrawals, Government grants, and contributions from parents or family. We work out what you might be entitled to and add it all together to work out your deposit.
Navigate the lending process
Awesome, you’ve got your deposit sorted! We now work with you to get an idea of your income and expenses. This allows us to see how much you can reasonably borrow and give you an idea of the price bracket you can be looking for a home in. We will present you with a number of lending options and explain the pros and cons of each. Once you’ve chosen one, we get you pre-approved and then the fun begins - house hunting! Being pre-approved gives you much more confidence in your house hunt and allows you to hit go when you find the right home.
Get the right loan
With so many lending options, how do you know what to choose? Your bank doesn’t always offer the best deals, so it’s important to shop around. Here at Loan Market, we have access to over 20 different lenders and hundreds of loan products, so we can find something that’s the perfect fit. We will also negotiate with the lender on your behalf and help manage all the deadlines and paperwork.
Understand the jargon
In every industry there is jargon and mortgages are no exception! It’s a good idea to have a basic understanding of the common words and acronyms used in buying a home. From DTI’s, LVR’s and LIM’s, understanding what these are and how they impact you is crucial. Thankfully we can help you navigate through all of this. We explain everything in plain English, and break down the industry terms and jargon so you know exactly what you are getting into - just another reason it’s a good idea to have a mortgage advisor on your side!
Find your dream home
Once you've set a budget and know roughly where you'll buy, find out the future plans for your suburb, and then decide on the type of property you want. There are many pros and cons to buying an existing property vs building, or a house vs an apartment, so it’s important to write a checklist outlining what you absolutely need in a property. For the pros and cons of the different types of property - download our free First Home Buyers eBook. It dives deep into everything you need to know about property types as a first home buyer.
Keen to know more about buying your First Home? Click here to grab a copy of our free eBook which outlines the entire home buying process. We’ve also included a useful property buying checklist to help you find the right home.