When people are first planning to get on the property ladder it can be a daunting process. It will, in nearly all cases, be the most expensive purchase that people have made to date in their lives. There’s so much to consider and also new things to learn; you have to get your head around all the new terminologies being thrown in your direction, understand new processes that you didn’t know had existed up until now and then figure out what this first home owner grant is that everyone keeps talking about!

Having experienced all this myself I thought it only right that I put down a small guide with some great tips in there for all potential first home buyers. I hope, that after reading the tips below, you will feel more comfortable and better prepared for your first meeting with the real estate agent.

Speak to a mortgage professional

I think when you’re doing something for the first time you should always seek the help of a professional. Their insight into the market and knowledge of the confusing process will help you no-end. So go out and find a good mortgage broker who will be able to show you the ropes.

Plan your budget

This is one of the most important parts of the whole process. Putting down a workable budget on paper and keeping to it is essential. Work out your disposable income and cost of living, then you will be ready to understand how much you can realistically afford each month for your home loan. Look for various options of home loans, I recently discovered that NPBS offers variable rate home loans which give you a lot of choice indeed.

Understand your limits

One thing that you must never do is buy a property that in reality you cannot afford. It’s so simple to sit there and convince one another that you will be able to struggle through a couple of years before your finances are healthier, but what will you do if the pay rise you were banking on doesn’t come in to fruition? Be sensible and plan with what you know you will have – it’s a great idea to put everything into an excel file on your computer so you get a clear idea of what your limits are.

Save as much as possible

Saving the largest amount you can to put towards a deposit will help you in a couple of major ways. It will convince any lender that you are financially disciplined and will be able to pay back any loan you are given. Secondly, the larger the deposit the smaller the loan, this means that you will be paying back less interest.

Apply for your First Home Owner Grant ASAP

You should apply for your First Home Owner Grant at exactly the same time that you put in your application for your home loan. For more details click here.

Please do let me know if my tips help you along the way and if I should add anything helpful for people in the future. For all home owners out there that have been through this process, it would be absolutely fantastic if you can share your experiences with the rest of our community. All you have to do is type your experiences down in the comment section below this post – can’t wait to read everything!