It has finally reached Spring in Australia bringing with it blossoming flowers, warmer temperatures, and increased rainfall to all of us in the southern hemisphere. With those temperatures warming up, seeing how the property market reacts will be interesting.
The Australian property market has been intense over the last few years, and it is still growing further according to a study by CoreLogic. Prices for properties rose by 0.7% in July this year after four months of previous increases. This is why it is important to consider these tips when purchasing your property this spring.
Tip 1: Work Out Your Finance
Nothing is more disappointing than doing months of research, property hunting and visiting open homes only to find out that you could never get the home loan you needed in the first place.
Speak to a mortgage broker like us at Read Finance. Mortgage brokers can take your current position, financial goals and plans on board while providing professional advice catered to your unique circumstances.
A mortgage broker could look also at getting a pre-approval from a lender for you, which gives you an idea of what a bank or lender may lend to you. Potentially providing you with more confidence when dealing with sellers or real estate.
Tip 2: Research Houses and Locations
Location is often cited as the most crucial factor when searching for a property. The safety of the neighbourhood should be paramount; you can usually check crime rates and statistics online on websites that have scraped publicly available data and placed that data on a map. Proximity to essential services such as schools, hospitals, public transportation, shops, and other amenities is also vitally important.
Consider the future prospects of the area. Which of the following is it:
- Up-and-coming neighbourhood
- Stable
- Declining
A growing area might offer a good return on investment, but it might also mean dealing with construction and a rapidly changing neighbourhood dynamic.
Size and layout are also key considerations in selecting a property. Determine the size of the property you need, including the number of bedrooms and bathrooms. This is often dictated by your long-term goals for the property. Consider whether the property is for living, investment, or rental purposes. For instance, if you plan on renting out the property, a place with more bedrooms might fetch a higher rental income. Your long-term goals will also affect other aspects of your property search, such as the location, size, and type of property you consider.
Availability of public services and utilities is another essential factor to consider. Check the availability of essential services like water, electricity, gas, and internet. Some rural or newly developed areas might not have reliable access to these services, which can be a significant inconvenience. Also, consider the history of natural disasters in the area like floods, earthquakes, bushfires, etc. Properties in areas prone to natural disasters might have higher insurance premiums, and you might need to invest in additional safety measures.
Local amenities, including parks, gyms and clubs can significantly impact your quality of life in a new property. Proximity to these amenities can also increase the property value, making it a better investment. Finally, consider the noise levels and surroundings of the property. Are there any factories, busy highways, or train tracks nearby? These can be significant sources of noise pollution and can affect your quality of life and property value.
Tip 3: Get Professional Help
Using professionals could greatly streamline the process of purchasing a property by providing professional advice based on your unique circumstances. Here is a list of five potential professional services that you could use when buying a property:
Mortgage Broker
Mortgage brokers act as a middleman between you and potential lenders. Their role is to work on your behalf to find the loan that suits your needs. Some mortgage brokers like Read Finance will continue to monitor your mortgage over time to ensure that it is still competitive while suiting your interests. Get in touch with us today as it’s never too early to get advice or start the process.
Real Estate Agent
A real estate agent in Australia can be invaluable due to their extensive knowledge of the local property market and network of contacts. They can help you find properties that match your criteria, arrange viewings, and guide you through the negotiation process. Just remember that they are working for the seller and are aiming to get them the best deal that suits their clients needs.
Solicitor
A solicitor will handle all the legal aspects of the home buying process. From reviewing and helping you understand the contract to handling the transfer of ownership and ensuring that there are no legal issues with the property. Having a solicitor helps to ensure that all the legalities are taken care of.
Accountant
An accountant can provide valuable financial advice, help you set a budget, understand the tax implications of buying a property, and assist in securing a mortgage in Australia. Their expertise is particularly crucial in a country where there are several tax considerations and incentives for home buyers.
Buyers Agent
A buyers agent is a professional who represents the buyer in a real estate transaction. They can help by sourcing suitable properties, negotiating the purchase price and managing the buying process on your behalf. In the Australian property market, where demand has soared in different parts of Australia recently, a buyers’ agent can help you gain a competitive edge by leveraging their network and expertise to secure a property that meets your needs.
Conclusion
For prospective buyers, this season is an opportune time to strategically plan their investments, focusing on comprehensive research regarding property locations and assessing neighbourhood dynamics, amenities, and potential future developments.
Moreover, seeking professional help from services like mortgage brokers, real estate agents, and accountants can streamline the process, ensuring an informed and financially sound decision-making pathway in the robust Australian property landscape.
Make sure you reach out to us at Read Finance for a complimentary meeting where we can review your financial situation, goals and see how we can help you.
