5 tips for first home buyers on the Northern Rivers
RESIDENTS looking to crack into the homeowners market are being encouraged to make the most of "historically low interest rates" by local home loan experts.
With the median house price in the Northern Rivers strong but still $300,000 lower than in Sydney*, Newcastle Permanent's home loan expert in Ballina, David Parker has five tips for those looking to break into the property market.
"Demand and housing prices in major cities are leading more and more Australians to look further afield to break into the property market," Mr Parker said.
"This presents a wonderful opportunity for first home buyers to consider locations like Ballina and Lismore, where they are more likely to have better success at securing their first home.
"We know that buying your first home is an exciting time but it can also be overwhelming.
"If you're not sure where to start, there are a few simple ways to help make the process quicker and easier."
Top 5 tips for first home buying success:
1. Talk to a lender to determine your borrowing capacity
2. Get your finances in order
3. Take advantage of any government grants you may be eligible for
4. Look into your home loan options
5. Seek pre-approval
"Firstly, talking with your lender to understand how much you can borrow will help narrow your property search," Mr Parker said.
"There are tools like online calculators that can give you a rough indication, but chatting with local lenders will give you a more accurate estimate.
He said having a budget in place and a solid savings record demonstrates your money management skills and can help with the application process.
When talking loans - he said pick an option that best fits your budget and lifestyle.
"Before seeking pre-approval to make a formal offer on a property, it's important to think about what type of loan structure will suit you best - you may want the security of a fixed interest rate, or prefer the flexibility of a variable interest rate."
Newcastle Permanent's First Home Buyer Seminars will help to answer questions local buyers have about preparing for their first home purchase.
There is also a special offer for first home buyers.
*Realestate.com.au Australian Property Market Report - January 2019