TIME TO BUY A HOUSE TOGETHER? THE TALK TO MORGAN OLIVER YOUR REAL ESTATE EXPERT WHO KNOW REAL ESTATE GOLD COAST

Have you reached that stage in your relationship that you are ready to buy your first home together?  These can be very exciting times, and while everything looks great on paper you should go into this with eyes wide open.  No matter how well you have planned for this, be prepared for some unexpected hurdles along the way.

Being prepared for these potential obstacles will make the actual process that much easier to handle.   No matter how much you profess your love for one another, buying a property together may test your relationship in unexpected ways.   As a couple you need to discuss and communicate the plan ahead and anticipate worse scenarios you may be confronted with on your journey to buying a home together.

Taking time out to work through a few simple steps now, will help ensure things run as smooth as possible.

• Know what you can afford including associated costs and get pre-approved for a loan
• Agree on the type of property you want to buy to avoid impulse decisions later on
• Inspect properties based on your agreed property type
• Mark a smart offer to secure your property
• Plan and protect for the worst – it may happen

Work Out Your Budget

First step is working out what you can afford, and this includes allowing for purchase related expenses such as legals etc.  Talk to your bank or your broker to understand your lender’s conditions and to know how much deposit you need to have saved.   Your bank or broker can also advise you about grants and schemes you could also access based on your circumstances.

Be conservative in your budgeting and make your budget realistic so that it doesn’t place you under too much financial pressure.  If you don’t have a feel for what the hidden costs associated with buying your home might be, talk to your broker or lender as they will have a very good idea of what will be required.  If you still feel unsure then talk to your solicitor or accountant to help you in this area.

Once you are comfortable with your budget, get pre-approved for a loan.  This will allow you to move forward with confidence to inspect properties.

Agree on the Type of Property

Before you start inspecting properties, know and agree on what you want.  How far do you want to be from work?   What suburbs do you both like?  How many bedrooms do you need?  Are you prepared to do some renovation work?

Once you have worked out the must-haves and the deal-breakers compare your lists.  You might be miles apart, but this is a good starting point to rationalise your requirements to be able to afford and find a property you can both live in.

Inspection Agreed Houses

House hunting can come with ups and downs.  Set up alerts on the various real estate apps for properties of the type you are looking for.  Be ready for competition in the marketplace and be prepared that finding your dream home might be very time consuming.

Refer to your list of must-have attributes for your property and try to stay as close as possible to this and not be swayed by other features however attractive.  Make notes on the properties you visit because after a while they tend to merge into each other.  Often agency websites or real estate apps can be helpful with their photos and descriptions of the property if you are having difficulty remembering one from another.

Make a Smart Offer to Secure the Property

It often seems tricky coming up with the right offer to secure a property offered for sale.  Some helpful tips are:

• Research will tell you if the price asked seems fair
• Try to find out what is motivating the seller, this can help you decide how urgently they need to sell
• Recognise competition for the property, you may need to move fast to seal the deal and limit the risk of losing the property to another purchaser
• Consider the terms you can offer and make these as attractive as possible without damaging or compromising your position
• Talk to the agent, discuss your strategy and rely on the advice they provide you in relation to the property

Plan and Protect for the Worst

While you don’t like or want to think about it, couples can split up and both of you need to talk about protecting your asset.   Start by discussing by talking about how you would handle mortgage payments should you separate, lose your job, fall ill or one partner dies.   Investigating insurances to cover you is a smart first step.  You should also consider setting aside several months’ mortgage repayments so there is a buffer should these situations arise.

It is also wise to prepare a legal document that covers you in the eventuality of a break-up.  In the absence of this type of agreement the law would consider the purchase has been made on the basis of a joint tenancy with no regard to either person’s individual financial stake in the property.

Call Morgan Oliver, your experienced real estate agent Gold Coast today on 0404 050 620 to start a conversation about the purchase of your dream home.

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