Tag Archives: buying
Buying a new home is always a big risk, especially for first-timers. It is, after all, a huge investment not only in terms of money but also time as well. Fear is often the main reason why people put off buying or building their dream homes despite the numerous benefits that come with a new abode.
Obviously, building your own home gives you more control which will help you overcome some of those first homebuyer jitters. Top builders in Perth, WA such as BuzzHomes can help you build the property you want with less stress.
Buying or building a home for the first time can be exciting, especially when you’ve found a great location. Perth, for instance, offers nice residential prospects thanks to its pleasant Mediterranean climate and a thriving central business district (CBD). At any rate, first home buyers must keep in mind that owning a home entails many considerations. Financing is undoubtedly the foremost of these concerns.
Mortgage payments are important to think about, but the costs of home ownership go beyond the monthly fees. Some people, especially those who are buying a home for the first time, make the mistake of thinking that they have nothing to worry about as long as they can afford the recurring payments. To avoid any snags down the line, be sure to keep in mind these other home ownership costs.
According to banking analyst Martin North from Digital Finance Analytics, a good number of first home buyers (FHBs) are purchasing their first ever homes not as owner-occupiers, but as investors. Speaking at the release of the latest J.P. Morgan Australian Mortgage Industry Report, North said that oversaturated markets in Australia—where owner-occupier loans are virtually impossible to obtain—have forced FHBs to get interest-only loans for investment properties backed by rental income.
FHBs are being denied access to the residential property market in past decades because the average price-to-income ratio in Australia has now ballooned by a factor of 9 (a few decades ago, the multiplier was as low as 3 times). Yet instead of being frozen out of the residential property market, young FHBs are simply switching how they penetrate it to take better advantage of tax privileges widely available to investors.
You’re single, you have a sizeable savings account, and you’re excited to start a new chapter in your life. Would you rather be buying a house or travelling the world? Not all people in their 20s accomplish both goals before turning 30, which many Australians dream about and consider rites of passage.
In Perth, many single persons tend to opt for home ownership rather than one-way tickets to other countries. In fact, about one in four first-time buyers—or a little less than 25 per cent of that population—gets a mortgage and buys a property. The number of these single-person households is expected to grow in the coming years.
House and land packages in Perth are indeed the rage with investors nowadays in Western Australia, with the sheer number of homes being built. Making the right decisions in selecting the location will pay off big time down the road, as described by Rory O’Rourke in his article for Smart Property Investment.
The housing sector in Western Australia is enjoying a new home construction boom, according to data produced by the WA Housing Forecasting Group. From June 2013 to 2014, more than 28,000 homes were built, which translate to a 20% jump in new home construction compared with the previous year. The increasing number of investors buying house and land packages has helped contribute to this figure.
Intrinsically, buying a home already has some risks attached, as part of the “taking the plunge” aspects of home ownership. This is doubled though when you’re buying a lot in a new community, since you will have little idea of what the living conditions will end up looking like, such as neighbours who will set up their home next to you, or building that will rise around you. Make sure to save up enough to adapt to these future changes.
Buying a new house and land in Perth carries with it the benefit of customization options and overall affordability. However, it always pays to know, at the very least, what further expenses you might be getting yourself into, so you can build your budget to meet these needs.
Would you choose the perfect house over the perfect neighbourhood in all of Western Australia, or is it the other way around? What if you didn’t have to pick one over the other? Indeed, getting house and land packages from Perth home builders like BuzzHomes allow you to pick a location first, and then build your perfect house next. Before you sign in on this venture, though, there are a few things you should know about it.
Don’t even look into specific blocks of land just yet—what’s important is that you choose a neighbourhood that you think will suit your lifestyle just right. Consider factors like amenities, schools, emergency services, and the like. Be sure to have a list of two or more potential locations so that you have a wide scope of options when you visit your builder later on.