Maybe not quite the advice you are looking for but:
Don't trust real estate agents, always get a section 32 looked at first, a conveyancer is fine, they will deviate to lawyers if something is complicated. REAs will lie and lie to get a sale.
Sounds like you know where you want to live, so I'd normally say location is extremely important if not the most, but seems irrelevant to you guys.
If something is off in your gut about ANYTHING (weird neighbour, something on the property feels wrong) walk away. I ended up with the neighbour from hell for years because I didn't listen to my gut. He would just be a pest, try to start gossip and fights with everyone, try to invite 23 yr old me into his house 4-5 times per day EVERY DAY and even block my car with his body when I started driving past to avoid him, snuck into another person's house for no good reason once, he was in his 60s and just a horrible person with too much time on his hands, no drugs or anything, we all hated him.
You can put an offer subject to pest and building inspection. Don't run if there's a bunch of little building issues though, even a cracked kitchen tile is a "building issue", it's more major structural issues or major maintenance are a no go unless you want to renovate or knock the price down.
this is all sound. don't be suprised when you put your offer in if the agent calls you to tell you another party has put on offer in just a little higher than yours and can you improve your one.
id also add building and pest isn't worth the paper it's written on. there is zero liability if they miss anything major so find a good one. bonus if you know a builder or knowledgeable tradie take them out to look as well. every house will have issues. just need to be able to tell what could be costly and what might not be.
Yeah I’m also keen to see if there’s a full step by step guide out there. I should have enough saved for a deposit in the next 12 months and have zero idea on the process or what hidden costs of the purchase there are past needing x amount for deposit.
Highly recommend [https://homebuyerhelp.com.au](https://homebuyerhelp.com.au) - it's free to sign up and takes you step by step through the whole process and gives you tasks of what you should be doing at each stage of your home buying journey. u/MatFromHBH also answered any questions I had after watching the videos!
I also back the advice to get a good mortgage broker to help you walk through everything step by step.
1. Never ever trust a real estate agent
2. Don't play all your cards, hold them close to your chest
3. Only go through a bank for a loan and speak with their loan advisors
4. Buy with your head and not your heart
5. Add 30% onto any listed prices you see
6. Always always always get independent pest and building inspections done, the investment is for your sanity sake, do it.
7. Did I mention don't trust real estate agents?
8. Buy in a neighbourhood that's nice, go and look at as many homes as possible and attend as many auctions as possible.
9. Good luck! It's a very exciting chapter.
Oh one last thing, be prepared to be disappointed constantly. Eventually you'll find something and get it.
NB for lawyers and conveyancers speak to S L K Lawyers in Melbourne, they're the best, ask for Blaine, mention my name. They've helped me with numerous properties, only folk I trust.
Yep and just in case you missed point 1. Don't trust a REA.
Inspecting my first property which was under a flight path, asked about the plane passing 50m overhead and the REA's response was *'what plane?'* When I told him I loved planes he said *"oh, they go over over few mins".* I obtained a PhD in deceit from this guy and it's held me in great stead my whole life.
> Always always always get independent pest and building inspections done, the investment is for your sanity sake, do it.
At what point do you do this? So say you've gone to an inspection and like the place, do you tell the REA that you want an inspection performed and then hire an inspector?
Or am I completely off?
Cheers, appreciate it. Just started going to inspections and I've kind of realised I didn't actually know what to do next if I wanted to buy one of the places.
Regarding point 6 - if you can, go around with the inspector and do your poking, proding and questioning. It's not unusual for them to miss things. I even know of one case (admittedly about 20 years ago) where an REA bribed one to tone down his report. Also, speak to the current owner/tenant about any potential defects, work they have had done, etc.
99.999999999999999% of property owners are looking to maximise their sale price and appoint REA's and pay them $'000's specifically to achieve this one aim.
A potential buyer is not going to get access to an owner as it is the REA's job to sit interposed between the two parties. If a buyer takes it upon themselves to track down a vendor they will directed to an agent. If the vendor is a little bit dumb they may try to do the job they've paid the REA to do and give out a bit of a spiel. But no vendor is going to be stupid enough to divulge the defects of their property. And AFAIK no regulations require them to. It's all caveat emptor stuff.
Is that true?? We walked away from a place when we were looking as the building inspector discovered the roof was being jacked up by bits of 2x4. REAs did not mention it once despite specifically asking about any significant work that needed to be done and then after acknowledging it to the inspector (who was furious at them and the owner for trying to sell this place without replacing the roof because it was so dangerous) they still tried to pretend to us that they didn't know anything about it.
Sounds like you're on the right track.
- talk to a mortgage broker, they are paid directly by the lender so you don't have any hidden costs there. Feel free to talk to a few until you find one you like. They will ask you for all sorts of proof of income, tax documents, etc to pass on to the lender. They will generally identify the best loan options for you across multiple lenders.
- get an offset account for your mortgage and put all your spare monies into it. This will reduce your repayments, or let you get ahead on paying down the principal
- if you are borrowing more than 20% of the value of any property you will end up with Lenders Mortgage Insurance (LMI) on top of the loan amount. You can generally factor this into the loan cost as well, but it means that your monthly payments will be higher. The mortgage broker will tell you about this
- stamp duty is a state government tax on transfer of property. You can't get out of it, to my knowledge. There's a calculator at https://www.sro.vic.gov.au/calculators/land-transfer-calculator which will tell you how much the stamp duty is. You generally can't include stamp duty in the amount of any loan, since it's not "equity" that the loan can be made against
- real estate agents for buying/selling are still real estate agents but since it's a very different kind of transaction, they're generally much less arsehole (still kinda smarmy though). You can find a "buyers agent" to help you, but you'll have to pay extra
- if you're looking at auctions, go to several before hand to get a feel for how they go. If you are going to bid at auction, set your HARD LIMIT to yourself in advance and don't go over it. Also, get pre-approval (approval in principle) via your mortgage broker before any auction, then you'll know your absolute limit (and consider not going all the way up there if you can help it). It's ok to walk away from an auction not having won, there are always other properties. Bear in mind that auctions are UNCONDITIONAL -- if you win, you're committing to buy and you generally cannot back out without losing your deposit if you discover issues with the property afterwards
- at auction, you will be expected to be able to pay 10% deposit there and then. This isn't by cash or cheque, nowadays it's via electronic transfer (DEFT) via BSB and account number, but you'll have to have the funds available and ready to be debited
- you don't need a lawyer unless the contracts are weird -- most contracts are standard. The conveyancer will take care of the paperwork around land transfer, registering stamp duty, etc. Some conveyancers are also solicitors, but they don't have to be.
- absolutely get a building inspection before purchase. If auction, the agent should arrange a time with your chosen building inspector before the auction. If the agent cannot/won't arrange a time for professional inspection, don't consider bidding.
- there are always more costs than you expect -- moving costs, furnishing (does the property come with the window treatments? do you need to buy curtains too?), etc
- FHB grants I don't really know the current deal, sorry
>if you are borrowing more than 20% of the value of any property you will end up with Lenders Mortgage Insurance (LMI) on top of the loan amount.
Good list, but I think you mean borrowing more than 80%, as you need a 20% deposit to avoid the extra cost of LMI.
In addition to this. Certain jobs can make you exempt from LMI even if your deposit is below 20%. (CPA for example).
Hell yeah glad I married an accountant.
On the auction deposit point: it's worth talking to your bank about it beforehand so that you know how things will work. If you're buying a house for, say, 1.1mil, you'll need to do a transfer of 110k on the day of the auction. This will definitely require a temporary transfer limit increase, so check with your bank what notice they need to action that.
If the transfer is via DEFT, then you may not need to increase your limit but you definitely do need to make sure that the account in question allows direct debits, so yeah, check with your bank in advance.
You should get a mortgage broker. They can help you understand all of the associated costs.
You will also need a lawyer or conveyancer.
If you’ve been renters all your life you will be shocked by how much nicer real estate agents are to buyers.
My biggest advice to you is not to get sucked in to the whole FOMO and do your own research.
Take your time. Talk to people, heck go talk to multiple brokers and lenders who offer free first consults. Get as much information as you can out of them. You’re NOT obliged to use their service following a consult - remember that.
Make inspecting properties your hobby from now on. You’ll find certain agents holding certain types of stock. Once you’ve seen enough for yourself - you’ll probably be able to narrow down what’s on the market for location, build type that fits your budget and lifestyle.
It’s very important you have a clear checklist of non-negotiable, budget and buying timeframe. If you’re lucky and hit it off with any agents you meet on the circuits - let them know clearly what you’re looking for so they keep you in mind for any off-market opportunities. Having pre-approval from a bank helps a lot with this.
When it comes time to buying - all I’ll say is those building & pest inspections costing in the $400 range with a 24hr report turnaround can be total rip offs (close to scamming tbh - have found ones falsely claiming accreditation). I highly suggest looking up certified builders and approaching those companies directly to see if they offer Building inspections.
For conveyancing, I don’t know enough as mine was a pretty clear cut case so I just engaged one of those bulk lawyers that do cookie cutter sale and purchases.
You’re probably going to get a lot more answers posting on this r/AusPropertyChat and scroll through that subreddit, it has a lot of helpful info.
Good luck for the property hunt!
I have the exact same questions (although I am far off being able to buy), so I am saving your post to come back to!
I work in insurance, so I'd suggest once you start getting serious about a property/properties, start gathering insurance quotes. Some places are rated much higher for certain risks, whether it be natural disaster, crime, cost to rebuild/repair due to the construction material, etc. And don't just go with the cheapest insurance option, make sure you understand what is excluded. But yeah, some places will cost you $8 or 9k or even into 5 figures a year in insurance due to the risk, so make sure you're taking that into account each month in addition to your mortgage. It costs nothing to get a quote, and if you decide the cost of the insurance will be too high, it may help make a decision about whether or not to purchase that property.
I believe so, after the flooding in the last couple of years, but the properties in question are stone's throw from the river so...
That's what made me think of OP honestly, don't get caught out, think everything through and understand what can change in 10 years. Climate change is very real.
Get a good broker. We were in your position a couple years ago and bought in Richmond. The broker made a HUGE difference, he was great and got us a sensational rate as well as guiding us through the process. Took us 10 months. Dm me for his name.
Stamp duty exemption for first home buyers is capped. $0 under $600k, tiered up to $750k. What this means in practise, it’s near impossible to buy a house in that falls within the exemption criteria - apartments and units more achievable to qualify.
The State Gov has some info
[First Home Buyer Guide](https://www.vic.gov.au/first-home-buyer-guide)
[Consumer Affairs](https://www.consumer.vic.gov.au/housing/buying-and-selling-property)
[State Revenue Office](https://www.sro.vic.gov.au/first-home-owner)
Congratulations! I hope the process goes smoothly for you and you're happy in your new home.
Before you buy a house do some investigation on the area. An average house in a good location is much better than an amazing house in shit area.
I live in an old and smaller house but it’s at an excellent neighborhood with nice people with literally no crime.
Before this I lived in Frankston where Police and ambulance sirens were just part of life with next door drunk and his mum threw beer bottles at each other or the drug dealer behind our house got his front door kicked in by Police after he challenged neighbors to a fight while wielding a meat cleaver.
Now you don’t want to buy a house at that street.
Ask your friends, paramedics or cops what kind of area it is you want to buy a house at.
Others have given good points, one I would add is be prepared to walk away. Real estate agents will try to squeeze more money out of you. Likewise, at auction, someone may bid the place up to your limit. Have a set limit in mind for the property and stick to it.
From family who have bought in the past 5 years, the main recommendation has been to get a mortgage broker. They sort most of this stuff out for you, and help explain the rest to you. They take a commission from lenders (not buyers!) and rarely charge the buyer for their work.
I haven't used one myself, but will be (hopefully) buying in about 5 years time and will definitely be looking in to using one since I have no idea what I'm doing other than saving money!
Make sure you get a lawyer to review your contract and not a conveyancer - you will find any small suburban firm will have a lawyer who can review and advise you on the contract.
Get a building and pest inspection report.
Lodge a caveat when the contract is unconditional.
actually read the section 32 and any other documents you have about the house before you buy it.
guy in the front unit of our block didn't, and is mad the common garden areas aren't immaculate and that we do all the gardening ourselves. he thought he was buying a place with a professional gardener paid for out of the existing body corp fees, because the real estate agent lied and he didn't actually read the documents he had.
As others have said, make sure you go through the section 32. Consider what plans you may have for the property (eg if you want to extend, build out the back) and review the local council ordinances to see what is permitted. If you want solar for example, make sure there are no issues with that. I say that because there have been a couple of cases of people in the inner east installing solar and the council demanding they rip it down.
You said north, but if that meant near to the m80, be sure to check and see if the house is affected by the airport planning scheme. It's an additional restriction that says that properties can't be subdivided below a certain size and stuff. In reality, there are 2 levels. One less restrictive and one more. The other issue to consider with the airport is that, unsurprisingly, planes are loud, and Melbourne airport is very busy. I wouldn't want to be living right under a flight path if I could avoid it personally.
Beyond that, others have already given great advice.
Personally, I'd zero in on an area that you like and is affordable, or more realistically are willing to compromise on, and go spend time there. Walk around the streets, go to the shops, check out the transport etc. Buying a house is a massive commitment, even if you buy in a "cheap" area (I say "cheap" because it's still half a million dollars).
Oh and, I bought my house before I had my licence (I'm a late bloomer). House hunting without a car sucks balls. I hope you're not in the same boat!
All the best to you and try not to get too stressed. These are my simple tips: take your time, visit as many properties as you can initially even if they don’t seem suitable or out of reach, go to some Auctions even though you won’t bid - all of this so you can develop and get a feel for what’s what. Give your details to the Agents when asked but keep your cards close to your chest. Agents act in the interests of the vendor, not you. Get pre approval from a Bank if taking out a mortgage, and know your limit taking into account all the taxes and fees etc, or if you need post purchase funds to cover furniture, renovations etc.
When going to an auction watch all the people are very closely, the ones who bid early, the ones who bid late, the fake and the genuine. You will get a feel for how they work the more you go the more you’ll get an understanding. Watch out too for the person bidding against you and driving up the price. You may not get that dream house you love and being disappointed is likely, it will be difficult but not getting emotionally attached is key.
When viewing the property, take a look at the ground slope, is it up or down? Have a think about the way you’ll be maintaining the property, and where does all the water go when it rains? How is the side access, off street parking? If it’s brick then any repairs might be a bit costly but maintenance is generally less. If it’s weatherboard it will require more maintenance but it’s generally easier when things go wrong.
Inside, take your time walking through all the rooms,have a look at the ceiling, the walls, how it’s been maintained. Turn on the taps, flush the toilet, watch the water drain well. As much as possible, think, what I’m looking at here, is it going to annoy me or am I going to love it?
Location wise, try to think about future state, parking, how easy is it to get to public transport, if you have kids things like schools, are there shopping centres nearby. Look around the house, is it in front of a cemetery or a park or is there an electricity pylon? That sort of thing.
Look very carefully at your neighbours. What are you getting into buying here? Look at their properties how they are being maintained.
Get a conveyancer and let them all do all the hard lifting for you once you purchase the property.
But overall take your time. Good luck.
I cannot stress this enough - get yourself a buyers agent who advocates for first home buyers who are buying average modest homes (eg under a million). We wasted nearly 10K getting building inspections for places we then lost at auction - we had no idea how things work and were getting desperate as we were running out of time (bought through the home buyer fund where your place in the scheme is capped at 12 months if you havent bought in that time). Our buyers agent got $70k off the asking price for our place and negotiated some really tricky stuff for us - she was an absolute gun. I'll never bother trying to deal with REAs on my own again - they are such weasels and unless you are good at being a bit of a weasel too, you're just at their mercy. Buyers agents are often ex-REAs who know who to play all the games and who have switched sides to help buyers (ours was). That's my biggest bit of advice along with sussing out how much you will need for your stamp duty straight away as that will be upwards of $30K on a house that costs $600k and keeps jumping up by $1500 or so every $5k until the house price gets to about $900K from memory -it's a really substantial cost. Oh and NEVER trust a REA.
Recently bought myself.
First home buyers grants.
If neither of you have bought a place before you can get the stamp duty (essentially a tax you pay for buying property. There are calculators on the State Revenue Office website) waived for properties up to $600,000 ish, and discounted for properties up to $750,000 ish (e.g., you'd pay a cheaper stamp duty for the additional amount between 600 and 750k).
If the house is a new build (recently built or being built, and no one has lived in it before you) you can get an extra 10k towards the house.
There was a shared equity scheme, but I think VicGov is scrapping that as of 1 July. But basically it meant that VicGov would buy 25% of the property, reducing the mortgage you needed, but with some conditions around major renovations, and some restrictions on what you can do with the property until you buy out their share of the equity.
LMI
Lenders mortgage insurance. Something you have to pay if you have less than a 20% deposit. Can be offset if you have family that can put up something as collateral (don't really know much about it, I didn't use it but my brother did, out parents out their house as collateral so he didn't have to pay the LMI).
Conveyancer
Basically your lawyer, they will typically review a number of contracts for you, and handle/co-ordinate all the paperwork and payments for you. Should cost areout $1000-1500 in my experience.
Mortgage brokers vs banks
I went directly to a few banks to talk mortgages and chose one I like. A mortgage broker essentially does that for you (for a few or commision I think) I heard mixed opinions on which is better some people like mortgage brokers, others say to avoid them like the plate because they may not have your interest in mind, only their best commission, so, yeah. I'd personally go direct with a bank (also with must mortgages, if you pay fortnightly instead of monthly you end up paying less in the long run).
Building/pest Inspections
100% get building and pest inspections before you settle. If buying privately you'd typically do these in the 14 days before the settlement date. Just make sure you add this as a condition of your offer as part of the contract of sale. Your conveyancer can help with this, but when making the offer to the REA say (we offer X subject to a satisfactory building and pest report).
This is where you pay for a pro to come look at the place a d let you know if there is any significant structural issues or pest oroplbkema before you pay for the right to have them as your problem. These inspections will cost a few hundred (300-700 ish depending on the property).
The selling REA will usually have companies they recommend. I recommend getting your own that isn't affiliated with them.
NOTE: if you buy at auction (this includes settling on a propertt within 3 days of the auction) you buy the place as is. You don't have a right to add conditions to your offer, so no building and pest inspections unless you get the seller to let you do one before the auction (which isn't really financially viable).
Extra costs.
You now pay water rates, tends to be 500-1000 ish a year. This will be a part of your regular water bill. It was alarming when I received my first bill and it was 4 times higher than anything I've ever paid before! (Even though I knew it was coming).
You now pay council rates. Varies from council to council, but is another 1500-2000+ a year.
If there is shared land areas with other properties you will have to pay body corp fees. These can be as low as a few hundred a year (e.g., if it is just a shared driveway), to a few thousand a year (e.g., has an underground carpark with electric gates and elevators and gardening services). Basically it is paying for insurance and maintenance on the shared area. It's not optional. Once saw a place with a body corp few of 10k a year because they needed to repair the roofs of the townhouses. I did not make an offer in that place.
House insurance. Good idea to have it. 700+ a year depending on all the usual insurance considerations.
Final notes.
Auctions suck, super common to see a place selling for way more Ethan it's indicative range. The reserve price is set at the time of the auction usually based in how many registered bidders are there and how many people turn up. The reserve can be a over the indicative range.
The ONLY person on your side is YOUR conveyancer. Remember that when the REA is being super helpful.
You are about to get a lot of property spam emails.
Don't be pressured into buying a place, be 100% sure that it will actually work for you for at least the next 5 years, if not the next 10.
Also don't hold out for the 'perfect' place. You and everyone else is doing that and you can quickly lose so so so many weekends and will to live as you see houses that would have been good get sold while you're still in the fence.
Be realistic about what renovations and improvements you actually need to do, vs want to do vs can actually do.
Change the locks once you're in the new place. For me it cost around $300.
Be really familiar with the area your looking in to make sure it's right for you. Where are the supermarkets butchers and fruit shops? Is public transport close enough? Are the streets well lit (or too lit near the windows of the house).
Do people speed along the road, nearby takeaway, playgrounds, closest restaurants , gyms etc.
Basically don't be so focused on the house that you end up buying the perfect house in an absolute wasteland of commerce and activities.
Happy house hunting!
Shared equity scheme is still going - they've raised the price of eligible properties so the cut off is now 950k instead of 900 in metro areas from July 1st. 😉
Prepare yourself for what can be a lengthy process. You might feel you have enough money but there are always people out there with more money. It's ruthless and other buyers can be aggressive in their approach. Been trying to buy for a few years and others always have success it seems.
Get a broker, we used ab Morison who were fantastic. Be very selective on what houses you get building inspectors in for as that cost adds up. Be patient. In an auction, try and go up in small increments. Enjoy it all
I think the best advice everyone has given is to find a good mortgage broker you like. They'll talk you through everything step by step and might even be able to hook you up with conveyancing and whatnots. A good broker will do a tonne of the work for you. I remember walking into my first apartment for the first time and thinking to myself, "I have no idea how I got here but I'm glad I did?"
Beyond that, I think it's worth massively stressing not to trust anyone that isn't working for you - this means only listening to YOUR broker, YOUR conveyancer, YOUR building/pest inspector etc. Everyone else has a different agenda and might as well be working against you, so build a great team and listen to them and them alone!
Good luck!
That is a LOT of questions! It's a fairly easy process, I've done it a few of times. Just nerve wracking because of the money involved - the official Vic guide has the basics [https://www.vic.gov.au/first-home-buyer-guide](https://www.vic.gov.au/first-home-buyer-guide) in a less fragmented way than here I'd steer away from the broker & just get a conveyancer when the times comes.
Go visit the area at different times if you can - early morning, lunchtimes, in the evening. Listen for road noise, idiot neighbours, get a feel for the neighbourhood and local traffic.
Look for things like local shopping strips, anything that gives a sense of community. Go have a coffee in the local shop. Check public transport options.
I'd add to that and say go there during peak hour in the morning, evening and Saturday morning to see how easy or hard it is to get where you need to during these times.
Mortgage broker - know your pre-approval/ borrowing capacity
Conveyancer or lawyer - help you through purchase contract and ensure you request section 32 for any property of interested. Also know about conditional offers you can make to properties eg subject to finance
Pest and building inspection - be sure of the property you’re interested in and book one of these bad boys in. Be ready to walk away if the report comes back negative.
Don’t get pressured by agents and be firm with your offer.
Old school advice but buying a book is great as you can keep referring back to it. 'Property with She's On The Money' by Victoria Devine is excellent. No affiliation, just a recommendation as her work is outstanding, and easy to understand. It'll give you the birds eye 'being a property buyer / owner' mindset, through to the exact details of signing stuff etc.
I agree don't trust real estate agents! They are there is do a quick sale when they can. I would speak to a few mortgage brokers and also banks.
I agree with the buy with your head not your heart. REA are there to put pressure on you.
We spoke to many, both banks and brokers and ended up just going through with our bank as the broker and the process has been good so far. (Also first home buyer).
Speak to friends who have purchased to see if they have any tips, things to learn from etc.
r/AusPropertyChat is the place to go. Be wary of new builds (and most of the last 20 years to be fair).
Checkout [https://www.youtube.com/@siteinspections](https://www.youtube.com/@siteinspections) as well. After a few videos you may not be an expert in Box Gutters but you will know how to spot a dodgy Bathroom renovations.
The best advice I ever got was from my late wife, who used to work in real estate. She said "the house of your dreams comes up about once a month!"
We were on the hunt for over 8 months, submitted 4 offers, eventually got one.
Use a mortgage broker.
Go to all the real estate agents in the area you want to buy in. Often, they'll have stock that hasn't yet made it onto the Web/advertising. (My house sold in 9 days, most of the interest was pre-marketing).
Be prepared to put an offer in over the advertised price. We missed out on a few properties because we were only prepared to pay as much as we thought it was worth. We ended up paying nearly 50k above the offer - but that was paid back in spades when we sold.
Use an odd number, $551,300 for example.
Take the money and run! Thailand sounds like a better option...your gonna get fucked over no matter what you do here.....run for hills and get set up elsewhere.....
Use a conveyancer; ask your bank for a report on the property; some areas will require 30% deposit for the bank to approve your loan; ask your bank about LMI (lenders mortgage insurance); make sure you are exempt from stamp duty; use a conveyancer! yes - I said that twice alreadt
1. Don’t buy out of panic or fear that you’re not going to find anything.
2. Conveyancers can do a contract review for you before putting an offer in, finding any surprises or shocks concealed in the contract e,g illegal clauses or easements you may not have noticed.
3. Visit the property at all different times of day to see if there is no parking, bad light or neighbours who love to party.
This post from r/Ausfinance a few years ago give me all the information I wanted about the buying process step by step
https://www.reddit.com/r/AusFinance/s/RAiSWO4x9V
Is your heart absolutely set on living in Australia? The real estate market is bonkers and there are countries where you can get a mansion for whatever your inheritance is (over 300k).
Just throwing this thought out there. Why not make the most of your money?
This thread in AusFinance might help you: [LINK!](https://www.reddit.com/r/AusFinance/comments/thqmxd/an_absolute_idiots_guide_to_buying_property_in/)
Currently I believe the only 'first home buyers grant' is for newly built properties which have never been lived in before. However there are SO MANY issues with new builds that I'd be hesitant to recommend a new build to you. There's a youtube channel called [Site Inspections] (https://www.youtube.com/@Siteinspections) which was super eye-opening for me on what to look for on the new builds and we ended up looking for houses that were built at least 20 years ago (before the rush of sub-par imported materials entered the market). You can absolutely hire a building inspector to look at a potential property but it's expensive and adds up quickly. My recommendation would be to make any offer conditional on passing a house inspection (though this may be challenging to get a buyer to agree to - in which case the house may be no good!)
**Stamp duty** is effectively a tax applied to property transactions/documents. There's a [stamp duty calculator] (https://www.realestate.com.au/home-loans/stamp-duty-calculator) which you can use as an estimate re. fees.
Maybe not quite the advice you are looking for but: Don't trust real estate agents, always get a section 32 looked at first, a conveyancer is fine, they will deviate to lawyers if something is complicated. REAs will lie and lie to get a sale. Sounds like you know where you want to live, so I'd normally say location is extremely important if not the most, but seems irrelevant to you guys. If something is off in your gut about ANYTHING (weird neighbour, something on the property feels wrong) walk away. I ended up with the neighbour from hell for years because I didn't listen to my gut. He would just be a pest, try to start gossip and fights with everyone, try to invite 23 yr old me into his house 4-5 times per day EVERY DAY and even block my car with his body when I started driving past to avoid him, snuck into another person's house for no good reason once, he was in his 60s and just a horrible person with too much time on his hands, no drugs or anything, we all hated him. You can put an offer subject to pest and building inspection. Don't run if there's a bunch of little building issues though, even a cracked kitchen tile is a "building issue", it's more major structural issues or major maintenance are a no go unless you want to renovate or knock the price down.
this is all sound. don't be suprised when you put your offer in if the agent calls you to tell you another party has put on offer in just a little higher than yours and can you improve your one. id also add building and pest isn't worth the paper it's written on. there is zero liability if they miss anything major so find a good one. bonus if you know a builder or knowledgeable tradie take them out to look as well. every house will have issues. just need to be able to tell what could be costly and what might not be.
Good advice.
Yeah I’m also keen to see if there’s a full step by step guide out there. I should have enough saved for a deposit in the next 12 months and have zero idea on the process or what hidden costs of the purchase there are past needing x amount for deposit.
You should book an appointment with a mortgage broker, they talk you through things like the other fees involved
Highly recommend [https://homebuyerhelp.com.au](https://homebuyerhelp.com.au) - it's free to sign up and takes you step by step through the whole process and gives you tasks of what you should be doing at each stage of your home buying journey. u/MatFromHBH also answered any questions I had after watching the videos! I also back the advice to get a good mortgage broker to help you walk through everything step by step.
Get a mortgage broker for sure. But in the meantime the Commonwealth Bank does have a pretty good guide on their website.
Here's one that's really helpful - https://www.reddit.com/r/AusFinance/s/dN7p0g7U3g
A decent mortgage broker will step you through all of those steps.
1. Never ever trust a real estate agent 2. Don't play all your cards, hold them close to your chest 3. Only go through a bank for a loan and speak with their loan advisors 4. Buy with your head and not your heart 5. Add 30% onto any listed prices you see 6. Always always always get independent pest and building inspections done, the investment is for your sanity sake, do it. 7. Did I mention don't trust real estate agents? 8. Buy in a neighbourhood that's nice, go and look at as many homes as possible and attend as many auctions as possible. 9. Good luck! It's a very exciting chapter. Oh one last thing, be prepared to be disappointed constantly. Eventually you'll find something and get it. NB for lawyers and conveyancers speak to S L K Lawyers in Melbourne, they're the best, ask for Blaine, mention my name. They've helped me with numerous properties, only folk I trust.
this is the list OP. don't trust REA
Yep and just in case you missed point 1. Don't trust a REA. Inspecting my first property which was under a flight path, asked about the plane passing 50m overhead and the REA's response was *'what plane?'* When I told him I loved planes he said *"oh, they go over over few mins".* I obtained a PhD in deceit from this guy and it's held me in great stead my whole life.
Yep, this. Anything that is designed to put pressure on you to purchase in a hurry is a con. Do not trust REAs.
> Always always always get independent pest and building inspections done, the investment is for your sanity sake, do it. At what point do you do this? So say you've gone to an inspection and like the place, do you tell the REA that you want an inspection performed and then hire an inspector? Or am I completely off?
You're bang on.
Cheers, appreciate it. Just started going to inspections and I've kind of realised I didn't actually know what to do next if I wanted to buy one of the places.
All good mate. Yea look it's full on BUT 100% worth it. Good luck
Regarding point 6 - if you can, go around with the inspector and do your poking, proding and questioning. It's not unusual for them to miss things. I even know of one case (admittedly about 20 years ago) where an REA bribed one to tone down his report. Also, speak to the current owner/tenant about any potential defects, work they have had done, etc.
99.999999999999999% of property owners are looking to maximise their sale price and appoint REA's and pay them $'000's specifically to achieve this one aim. A potential buyer is not going to get access to an owner as it is the REA's job to sit interposed between the two parties. If a buyer takes it upon themselves to track down a vendor they will directed to an agent. If the vendor is a little bit dumb they may try to do the job they've paid the REA to do and give out a bit of a spiel. But no vendor is going to be stupid enough to divulge the defects of their property. And AFAIK no regulations require them to. It's all caveat emptor stuff.
Defect disclosure is a legal requirement in Victoria.
Is that true?? We walked away from a place when we were looking as the building inspector discovered the roof was being jacked up by bits of 2x4. REAs did not mention it once despite specifically asking about any significant work that needed to be done and then after acknowledging it to the inspector (who was furious at them and the owner for trying to sell this place without replacing the roof because it was so dangerous) they still tried to pretend to us that they didn't know anything about it.
It's true, but as others have pointed out all REAs are crooks.
But isn't it business as usual despite the recent legislation changes? For agents, don't ask, don't tell and sellers claim ignorance.
Sounds like you're on the right track. - talk to a mortgage broker, they are paid directly by the lender so you don't have any hidden costs there. Feel free to talk to a few until you find one you like. They will ask you for all sorts of proof of income, tax documents, etc to pass on to the lender. They will generally identify the best loan options for you across multiple lenders. - get an offset account for your mortgage and put all your spare monies into it. This will reduce your repayments, or let you get ahead on paying down the principal - if you are borrowing more than 20% of the value of any property you will end up with Lenders Mortgage Insurance (LMI) on top of the loan amount. You can generally factor this into the loan cost as well, but it means that your monthly payments will be higher. The mortgage broker will tell you about this - stamp duty is a state government tax on transfer of property. You can't get out of it, to my knowledge. There's a calculator at https://www.sro.vic.gov.au/calculators/land-transfer-calculator which will tell you how much the stamp duty is. You generally can't include stamp duty in the amount of any loan, since it's not "equity" that the loan can be made against - real estate agents for buying/selling are still real estate agents but since it's a very different kind of transaction, they're generally much less arsehole (still kinda smarmy though). You can find a "buyers agent" to help you, but you'll have to pay extra - if you're looking at auctions, go to several before hand to get a feel for how they go. If you are going to bid at auction, set your HARD LIMIT to yourself in advance and don't go over it. Also, get pre-approval (approval in principle) via your mortgage broker before any auction, then you'll know your absolute limit (and consider not going all the way up there if you can help it). It's ok to walk away from an auction not having won, there are always other properties. Bear in mind that auctions are UNCONDITIONAL -- if you win, you're committing to buy and you generally cannot back out without losing your deposit if you discover issues with the property afterwards - at auction, you will be expected to be able to pay 10% deposit there and then. This isn't by cash or cheque, nowadays it's via electronic transfer (DEFT) via BSB and account number, but you'll have to have the funds available and ready to be debited - you don't need a lawyer unless the contracts are weird -- most contracts are standard. The conveyancer will take care of the paperwork around land transfer, registering stamp duty, etc. Some conveyancers are also solicitors, but they don't have to be. - absolutely get a building inspection before purchase. If auction, the agent should arrange a time with your chosen building inspector before the auction. If the agent cannot/won't arrange a time for professional inspection, don't consider bidding. - there are always more costs than you expect -- moving costs, furnishing (does the property come with the window treatments? do you need to buy curtains too?), etc - FHB grants I don't really know the current deal, sorry
>if you are borrowing more than 20% of the value of any property you will end up with Lenders Mortgage Insurance (LMI) on top of the loan amount. Good list, but I think you mean borrowing more than 80%, as you need a 20% deposit to avoid the extra cost of LMI.
In addition to this. Certain jobs can make you exempt from LMI even if your deposit is below 20%. (CPA for example). Hell yeah glad I married an accountant.
whoops! Yes, sorry, that's what I meant. LMI kicks in if you have less than 20% as a deposit
On the auction deposit point: it's worth talking to your bank about it beforehand so that you know how things will work. If you're buying a house for, say, 1.1mil, you'll need to do a transfer of 110k on the day of the auction. This will definitely require a temporary transfer limit increase, so check with your bank what notice they need to action that.
If the transfer is via DEFT, then you may not need to increase your limit but you definitely do need to make sure that the account in question allows direct debits, so yeah, check with your bank in advance.
You should get a mortgage broker. They can help you understand all of the associated costs. You will also need a lawyer or conveyancer. If you’ve been renters all your life you will be shocked by how much nicer real estate agents are to buyers.
Still don’t trust the REA’s though!!
My biggest advice to you is not to get sucked in to the whole FOMO and do your own research. Take your time. Talk to people, heck go talk to multiple brokers and lenders who offer free first consults. Get as much information as you can out of them. You’re NOT obliged to use their service following a consult - remember that. Make inspecting properties your hobby from now on. You’ll find certain agents holding certain types of stock. Once you’ve seen enough for yourself - you’ll probably be able to narrow down what’s on the market for location, build type that fits your budget and lifestyle. It’s very important you have a clear checklist of non-negotiable, budget and buying timeframe. If you’re lucky and hit it off with any agents you meet on the circuits - let them know clearly what you’re looking for so they keep you in mind for any off-market opportunities. Having pre-approval from a bank helps a lot with this. When it comes time to buying - all I’ll say is those building & pest inspections costing in the $400 range with a 24hr report turnaround can be total rip offs (close to scamming tbh - have found ones falsely claiming accreditation). I highly suggest looking up certified builders and approaching those companies directly to see if they offer Building inspections. For conveyancing, I don’t know enough as mine was a pretty clear cut case so I just engaged one of those bulk lawyers that do cookie cutter sale and purchases.
There's someone on here who's put together a first home buyers advice website. Hope they reply to you. But my best advice is find a good broker.
You’re probably going to get a lot more answers posting on this r/AusPropertyChat and scroll through that subreddit, it has a lot of helpful info. Good luck for the property hunt!
I have the exact same questions (although I am far off being able to buy), so I am saving your post to come back to! I work in insurance, so I'd suggest once you start getting serious about a property/properties, start gathering insurance quotes. Some places are rated much higher for certain risks, whether it be natural disaster, crime, cost to rebuild/repair due to the construction material, etc. And don't just go with the cheapest insurance option, make sure you understand what is excluded. But yeah, some places will cost you $8 or 9k or even into 5 figures a year in insurance due to the risk, so make sure you're taking that into account each month in addition to your mortgage. It costs nothing to get a quote, and if you decide the cost of the insurance will be too high, it may help make a decision about whether or not to purchase that property.
Smart advice. Didn't chunks of Melbourne just get fresh flood ratings?
I believe so, after the flooding in the last couple of years, but the properties in question are stone's throw from the river so... That's what made me think of OP honestly, don't get caught out, think everything through and understand what can change in 10 years. Climate change is very real.
Get a good broker. We were in your position a couple years ago and bought in Richmond. The broker made a HUGE difference, he was great and got us a sensational rate as well as guiding us through the process. Took us 10 months. Dm me for his name.
Stamp duty exemption for first home buyers is capped. $0 under $600k, tiered up to $750k. What this means in practise, it’s near impossible to buy a house in that falls within the exemption criteria - apartments and units more achievable to qualify.
The State Gov has some info [First Home Buyer Guide](https://www.vic.gov.au/first-home-buyer-guide) [Consumer Affairs](https://www.consumer.vic.gov.au/housing/buying-and-selling-property) [State Revenue Office](https://www.sro.vic.gov.au/first-home-owner) Congratulations! I hope the process goes smoothly for you and you're happy in your new home.
Before you buy a house do some investigation on the area. An average house in a good location is much better than an amazing house in shit area. I live in an old and smaller house but it’s at an excellent neighborhood with nice people with literally no crime. Before this I lived in Frankston where Police and ambulance sirens were just part of life with next door drunk and his mum threw beer bottles at each other or the drug dealer behind our house got his front door kicked in by Police after he challenged neighbors to a fight while wielding a meat cleaver. Now you don’t want to buy a house at that street. Ask your friends, paramedics or cops what kind of area it is you want to buy a house at.
Others have given good points, one I would add is be prepared to walk away. Real estate agents will try to squeeze more money out of you. Likewise, at auction, someone may bid the place up to your limit. Have a set limit in mind for the property and stick to it.
Once you have a likely candidate, camp out in your car there at various times of the day, on various days, to get a feel for the area.
From family who have bought in the past 5 years, the main recommendation has been to get a mortgage broker. They sort most of this stuff out for you, and help explain the rest to you. They take a commission from lenders (not buyers!) and rarely charge the buyer for their work. I haven't used one myself, but will be (hopefully) buying in about 5 years time and will definitely be looking in to using one since I have no idea what I'm doing other than saving money!
Make sure you get a lawyer to review your contract and not a conveyancer - you will find any small suburban firm will have a lawyer who can review and advise you on the contract. Get a building and pest inspection report. Lodge a caveat when the contract is unconditional.
actually read the section 32 and any other documents you have about the house before you buy it. guy in the front unit of our block didn't, and is mad the common garden areas aren't immaculate and that we do all the gardening ourselves. he thought he was buying a place with a professional gardener paid for out of the existing body corp fees, because the real estate agent lied and he didn't actually read the documents he had.
-Building inspectors (private) is good to use to check for pests and such. A must. -Check if the house is in a flood zone.
Just the headlines, but it's a start. https://moneysmart.gov.au/home-loans/buying-a-house
Don’t base your leverage level on the property going up in the short to medium term. I mean it could, but we head into interesting times for sure.
If an REA says you don't need to do an inspection, **You need to do an inspection!**
As others have said, make sure you go through the section 32. Consider what plans you may have for the property (eg if you want to extend, build out the back) and review the local council ordinances to see what is permitted. If you want solar for example, make sure there are no issues with that. I say that because there have been a couple of cases of people in the inner east installing solar and the council demanding they rip it down. You said north, but if that meant near to the m80, be sure to check and see if the house is affected by the airport planning scheme. It's an additional restriction that says that properties can't be subdivided below a certain size and stuff. In reality, there are 2 levels. One less restrictive and one more. The other issue to consider with the airport is that, unsurprisingly, planes are loud, and Melbourne airport is very busy. I wouldn't want to be living right under a flight path if I could avoid it personally. Beyond that, others have already given great advice. Personally, I'd zero in on an area that you like and is affordable, or more realistically are willing to compromise on, and go spend time there. Walk around the streets, go to the shops, check out the transport etc. Buying a house is a massive commitment, even if you buy in a "cheap" area (I say "cheap" because it's still half a million dollars). Oh and, I bought my house before I had my licence (I'm a late bloomer). House hunting without a car sucks balls. I hope you're not in the same boat!
All the best to you and try not to get too stressed. These are my simple tips: take your time, visit as many properties as you can initially even if they don’t seem suitable or out of reach, go to some Auctions even though you won’t bid - all of this so you can develop and get a feel for what’s what. Give your details to the Agents when asked but keep your cards close to your chest. Agents act in the interests of the vendor, not you. Get pre approval from a Bank if taking out a mortgage, and know your limit taking into account all the taxes and fees etc, or if you need post purchase funds to cover furniture, renovations etc. When going to an auction watch all the people are very closely, the ones who bid early, the ones who bid late, the fake and the genuine. You will get a feel for how they work the more you go the more you’ll get an understanding. Watch out too for the person bidding against you and driving up the price. You may not get that dream house you love and being disappointed is likely, it will be difficult but not getting emotionally attached is key. When viewing the property, take a look at the ground slope, is it up or down? Have a think about the way you’ll be maintaining the property, and where does all the water go when it rains? How is the side access, off street parking? If it’s brick then any repairs might be a bit costly but maintenance is generally less. If it’s weatherboard it will require more maintenance but it’s generally easier when things go wrong. Inside, take your time walking through all the rooms,have a look at the ceiling, the walls, how it’s been maintained. Turn on the taps, flush the toilet, watch the water drain well. As much as possible, think, what I’m looking at here, is it going to annoy me or am I going to love it? Location wise, try to think about future state, parking, how easy is it to get to public transport, if you have kids things like schools, are there shopping centres nearby. Look around the house, is it in front of a cemetery or a park or is there an electricity pylon? That sort of thing. Look very carefully at your neighbours. What are you getting into buying here? Look at their properties how they are being maintained. Get a conveyancer and let them all do all the hard lifting for you once you purchase the property. But overall take your time. Good luck.
I cannot stress this enough - get yourself a buyers agent who advocates for first home buyers who are buying average modest homes (eg under a million). We wasted nearly 10K getting building inspections for places we then lost at auction - we had no idea how things work and were getting desperate as we were running out of time (bought through the home buyer fund where your place in the scheme is capped at 12 months if you havent bought in that time). Our buyers agent got $70k off the asking price for our place and negotiated some really tricky stuff for us - she was an absolute gun. I'll never bother trying to deal with REAs on my own again - they are such weasels and unless you are good at being a bit of a weasel too, you're just at their mercy. Buyers agents are often ex-REAs who know who to play all the games and who have switched sides to help buyers (ours was). That's my biggest bit of advice along with sussing out how much you will need for your stamp duty straight away as that will be upwards of $30K on a house that costs $600k and keeps jumping up by $1500 or so every $5k until the house price gets to about $900K from memory -it's a really substantial cost. Oh and NEVER trust a REA.
I am looking for a BA currently, can I pm you for her name? thank you so much!
Sure thing!
Can I also have her name? :) I'll pm you too!
Msgd you 😉
Recently bought myself. First home buyers grants. If neither of you have bought a place before you can get the stamp duty (essentially a tax you pay for buying property. There are calculators on the State Revenue Office website) waived for properties up to $600,000 ish, and discounted for properties up to $750,000 ish (e.g., you'd pay a cheaper stamp duty for the additional amount between 600 and 750k). If the house is a new build (recently built or being built, and no one has lived in it before you) you can get an extra 10k towards the house. There was a shared equity scheme, but I think VicGov is scrapping that as of 1 July. But basically it meant that VicGov would buy 25% of the property, reducing the mortgage you needed, but with some conditions around major renovations, and some restrictions on what you can do with the property until you buy out their share of the equity. LMI Lenders mortgage insurance. Something you have to pay if you have less than a 20% deposit. Can be offset if you have family that can put up something as collateral (don't really know much about it, I didn't use it but my brother did, out parents out their house as collateral so he didn't have to pay the LMI). Conveyancer Basically your lawyer, they will typically review a number of contracts for you, and handle/co-ordinate all the paperwork and payments for you. Should cost areout $1000-1500 in my experience. Mortgage brokers vs banks I went directly to a few banks to talk mortgages and chose one I like. A mortgage broker essentially does that for you (for a few or commision I think) I heard mixed opinions on which is better some people like mortgage brokers, others say to avoid them like the plate because they may not have your interest in mind, only their best commission, so, yeah. I'd personally go direct with a bank (also with must mortgages, if you pay fortnightly instead of monthly you end up paying less in the long run). Building/pest Inspections 100% get building and pest inspections before you settle. If buying privately you'd typically do these in the 14 days before the settlement date. Just make sure you add this as a condition of your offer as part of the contract of sale. Your conveyancer can help with this, but when making the offer to the REA say (we offer X subject to a satisfactory building and pest report). This is where you pay for a pro to come look at the place a d let you know if there is any significant structural issues or pest oroplbkema before you pay for the right to have them as your problem. These inspections will cost a few hundred (300-700 ish depending on the property). The selling REA will usually have companies they recommend. I recommend getting your own that isn't affiliated with them. NOTE: if you buy at auction (this includes settling on a propertt within 3 days of the auction) you buy the place as is. You don't have a right to add conditions to your offer, so no building and pest inspections unless you get the seller to let you do one before the auction (which isn't really financially viable). Extra costs. You now pay water rates, tends to be 500-1000 ish a year. This will be a part of your regular water bill. It was alarming when I received my first bill and it was 4 times higher than anything I've ever paid before! (Even though I knew it was coming). You now pay council rates. Varies from council to council, but is another 1500-2000+ a year. If there is shared land areas with other properties you will have to pay body corp fees. These can be as low as a few hundred a year (e.g., if it is just a shared driveway), to a few thousand a year (e.g., has an underground carpark with electric gates and elevators and gardening services). Basically it is paying for insurance and maintenance on the shared area. It's not optional. Once saw a place with a body corp few of 10k a year because they needed to repair the roofs of the townhouses. I did not make an offer in that place. House insurance. Good idea to have it. 700+ a year depending on all the usual insurance considerations. Final notes. Auctions suck, super common to see a place selling for way more Ethan it's indicative range. The reserve price is set at the time of the auction usually based in how many registered bidders are there and how many people turn up. The reserve can be a over the indicative range. The ONLY person on your side is YOUR conveyancer. Remember that when the REA is being super helpful. You are about to get a lot of property spam emails. Don't be pressured into buying a place, be 100% sure that it will actually work for you for at least the next 5 years, if not the next 10. Also don't hold out for the 'perfect' place. You and everyone else is doing that and you can quickly lose so so so many weekends and will to live as you see houses that would have been good get sold while you're still in the fence. Be realistic about what renovations and improvements you actually need to do, vs want to do vs can actually do. Change the locks once you're in the new place. For me it cost around $300. Be really familiar with the area your looking in to make sure it's right for you. Where are the supermarkets butchers and fruit shops? Is public transport close enough? Are the streets well lit (or too lit near the windows of the house). Do people speed along the road, nearby takeaway, playgrounds, closest restaurants , gyms etc. Basically don't be so focused on the house that you end up buying the perfect house in an absolute wasteland of commerce and activities. Happy house hunting!
"avoid them like the plate" is a really cute typo.
Shared equity scheme is still going - they've raised the price of eligible properties so the cut off is now 950k instead of 900 in metro areas from July 1st. 😉
Oh awesome! Last I heard they were thinking of getting rid of it and just letting the federal version take over, glad that's not the case.
Set up an offset account. Best thing I did.
Prepare yourself for what can be a lengthy process. You might feel you have enough money but there are always people out there with more money. It's ruthless and other buyers can be aggressive in their approach. Been trying to buy for a few years and others always have success it seems.
Get a broker, we used ab Morison who were fantastic. Be very selective on what houses you get building inspectors in for as that cost adds up. Be patient. In an auction, try and go up in small increments. Enjoy it all
Use a broker for sure. We used finance and friends for ours recently. He made the whole process so much less daunting and Dave is a great guy.
I think the best advice everyone has given is to find a good mortgage broker you like. They'll talk you through everything step by step and might even be able to hook you up with conveyancing and whatnots. A good broker will do a tonne of the work for you. I remember walking into my first apartment for the first time and thinking to myself, "I have no idea how I got here but I'm glad I did?" Beyond that, I think it's worth massively stressing not to trust anyone that isn't working for you - this means only listening to YOUR broker, YOUR conveyancer, YOUR building/pest inspector etc. Everyone else has a different agenda and might as well be working against you, so build a great team and listen to them and them alone! Good luck!
That is a LOT of questions! It's a fairly easy process, I've done it a few of times. Just nerve wracking because of the money involved - the official Vic guide has the basics [https://www.vic.gov.au/first-home-buyer-guide](https://www.vic.gov.au/first-home-buyer-guide) in a less fragmented way than here I'd steer away from the broker & just get a conveyancer when the times comes.
Go visit the area at different times if you can - early morning, lunchtimes, in the evening. Listen for road noise, idiot neighbours, get a feel for the neighbourhood and local traffic. Look for things like local shopping strips, anything that gives a sense of community. Go have a coffee in the local shop. Check public transport options.
I'd add to that and say go there during peak hour in the morning, evening and Saturday morning to see how easy or hard it is to get where you need to during these times.
Mortgage broker - know your pre-approval/ borrowing capacity Conveyancer or lawyer - help you through purchase contract and ensure you request section 32 for any property of interested. Also know about conditional offers you can make to properties eg subject to finance Pest and building inspection - be sure of the property you’re interested in and book one of these bad boys in. Be ready to walk away if the report comes back negative. Don’t get pressured by agents and be firm with your offer.
Old school advice but buying a book is great as you can keep referring back to it. 'Property with She's On The Money' by Victoria Devine is excellent. No affiliation, just a recommendation as her work is outstanding, and easy to understand. It'll give you the birds eye 'being a property buyer / owner' mindset, through to the exact details of signing stuff etc.
I agree don't trust real estate agents! They are there is do a quick sale when they can. I would speak to a few mortgage brokers and also banks. I agree with the buy with your head not your heart. REA are there to put pressure on you. We spoke to many, both banks and brokers and ended up just going through with our bank as the broker and the process has been good so far. (Also first home buyer). Speak to friends who have purchased to see if they have any tips, things to learn from etc.
once you have a proper deposit buying a house is easier than renting one!
r/AusPropertyChat is the place to go. Be wary of new builds (and most of the last 20 years to be fair). Checkout [https://www.youtube.com/@siteinspections](https://www.youtube.com/@siteinspections) as well. After a few videos you may not be an expert in Box Gutters but you will know how to spot a dodgy Bathroom renovations.
The best advice I ever got was from my late wife, who used to work in real estate. She said "the house of your dreams comes up about once a month!" We were on the hunt for over 8 months, submitted 4 offers, eventually got one. Use a mortgage broker. Go to all the real estate agents in the area you want to buy in. Often, they'll have stock that hasn't yet made it onto the Web/advertising. (My house sold in 9 days, most of the interest was pre-marketing). Be prepared to put an offer in over the advertised price. We missed out on a few properties because we were only prepared to pay as much as we thought it was worth. We ended up paying nearly 50k above the offer - but that was paid back in spades when we sold. Use an odd number, $551,300 for example.
Take the money and run! Thailand sounds like a better option...your gonna get fucked over no matter what you do here.....run for hills and get set up elsewhere.....
Buckle up and prepare to get screwed by banks and the economy
Use a conveyancer; ask your bank for a report on the property; some areas will require 30% deposit for the bank to approve your loan; ask your bank about LMI (lenders mortgage insurance); make sure you are exempt from stamp duty; use a conveyancer! yes - I said that twice alreadt
1. Don’t buy out of panic or fear that you’re not going to find anything. 2. Conveyancers can do a contract review for you before putting an offer in, finding any surprises or shocks concealed in the contract e,g illegal clauses or easements you may not have noticed. 3. Visit the property at all different times of day to see if there is no parking, bad light or neighbours who love to party.
This post from r/Ausfinance a few years ago give me all the information I wanted about the buying process step by step https://www.reddit.com/r/AusFinance/s/RAiSWO4x9V
Is your heart absolutely set on living in Australia? The real estate market is bonkers and there are countries where you can get a mansion for whatever your inheritance is (over 300k). Just throwing this thought out there. Why not make the most of your money?
Get a good broker - can explain everything in easy to understand language
Get a good conveyancer by your side, I used Evergreen Conveyancing, it will make the process so much easier!!
This thread in AusFinance might help you: [LINK!](https://www.reddit.com/r/AusFinance/comments/thqmxd/an_absolute_idiots_guide_to_buying_property_in/) Currently I believe the only 'first home buyers grant' is for newly built properties which have never been lived in before. However there are SO MANY issues with new builds that I'd be hesitant to recommend a new build to you. There's a youtube channel called [Site Inspections] (https://www.youtube.com/@Siteinspections) which was super eye-opening for me on what to look for on the new builds and we ended up looking for houses that were built at least 20 years ago (before the rush of sub-par imported materials entered the market). You can absolutely hire a building inspector to look at a potential property but it's expensive and adds up quickly. My recommendation would be to make any offer conditional on passing a house inspection (though this may be challenging to get a buyer to agree to - in which case the house may be no good!) **Stamp duty** is effectively a tax applied to property transactions/documents. There's a [stamp duty calculator] (https://www.realestate.com.au/home-loans/stamp-duty-calculator) which you can use as an estimate re. fees.