How to avoid paying too much to buy a home in Australia
Updated: May 24, 2021
Knowing what a property is worth is essential to avoid paying too much for it.
Set a benchmark
Comparing nearby properties that have recently sold is the best way to assess an acceptable price for the property you are looking for and provides a valuable negotiation tool when you are negotiating with a seller or agent. Make sure the properties are comparable, with a similar land size and number of rooms, for example, so you're not measuring apples against oranges.
At TARRASO-LETANG we will provide you with a property report that will include a complete history of the property's value and a list of sales in the area of comparable properties, closest services, etc. We will also include a suburb report so you can see the market trend.
Request a free property report here
Be aware of current market conditions.
The real estate market is always changing, so doing this research once and sitting still for a few months will offer little help. Going to open homes regularly will give you an idea of the current state of the market and how much certain properties cost.
Ask us for an updated property report here
Expand your search
Our number one tip is to look for properties in the suburb next to the one you want. We found that particular first-time home buyers generally end up shopping in the most affordable suburb next to the one they wanted to buy for the first time.
Do not exceed your financial capacity
Even if a bank approves you for a particular loan amount, it doesn't mean that you have to accept it; a higher loan amount means higher interest charges over the life of the loan, which increases the total cost of buying the property, so always commit to a loan that you can repay along with your current income and actual expenses . When calculating home price figures, be sure to budget for maintenance and repair costs as well, as well as any other experience you may need in the buying process.
At TARRASO-LETANG we advise you on the entire process and current market options. To others, we will give you a complete financial analysis of your personal situation so that you can budget appropriately.
Request a free financial evaluation here
Use the experts
We recommend using a buyer's agent, as buying a home is one of the most important financial decisions of your life, and most people are unfamiliar with the process. If cost is a concern, we suggest that you only use them for a part of the process where you need help, such as negotiating or bidding at an auction.
Having an accredited mortgage broker is key to avoid overpaying for finances: At TARRASO-LETANG we will find the best loan for you and we will make sure it is one that you can afford. We will advise others throughout the purchase process.
Get in touch with us today and we will help you get your home.