In today’s dynamic real estate market, purchasing a home is a really big step. This milestone comes with a vast excitement but undoubtedly has its own challenges to offer. Are you planning to buy a house in Australia? 2025 can be your perfect year.
Feeling intimidated by the process of finding, confirming and finally buying the property? Well, you’re not alone, but with this guide in hand, you don’t have to be tense anymore. We have created this blog to help you start from scratch and guide you at every step. No matter if you are still saving up for your dream house or planning to buy it soon, this first-time home buyer guide will be helpful to everyone.
What are the challenges you might face as a first-time home buyer?
Here’s a list of challenges you should be prepared for –
- Increasing Interest Rates: The total financial burden on homeowners has increased due to recent interest rate increases, which may have an effect on affordability.
- Competitive Market: In the current real estate market, first-time purchasers face significant challenges. Properties now frequently receive multiple bids, which drives up prices even further.
- Deposit Obstacle: For many first-time homebuyers, meeting the high deposit requirements of lenders and saving for a substantial down payment while juggling other financial obligations can be difficult.
- Rising Home Prices: First-time home buyers in Australia may find it challenging due to the rapidly rising cost of housing, especially in large cities like Sydney and Melbourne.
Why 2025 can be a good year for buying your first property?
If you’re planning to purchase a home this year, these are the few things you must note down –
- It has been reported that real estate prices have levelled off in many regions, resulting in a more balanced market with room for negotiation.
- New buyers are still supported by programmes like the First Home Owner Grant (FHOG) and the First Home Guarantee, especially if they have a smaller down payment.
- Home buyers will have better town options such as Yarrawonga, which is less crowded and less expensive than major cities like Sydney or Melbourne but comes with all the amenities and natural beauty as a bonus.
- Most importantly, in 2025, the Reserve Bank of Australia is expected to reduce interest rates, which could increase first-time buyers’ borrowing power.
A step-by-step guide for first-time home buyers
Let’s look at the necessary steps you must follow in the three phases of buying a property –
Step 1: Before the Purchase
Prepare yourself in advance by following these simple tips-
· Prepare yourself financially
Recognise your financial situation, including your debt, savings, potential borrowing capacity, and recurring expenses. The majority of lenders demand a deposit equal to at least 5–20% of the purchase price. Your repayments will go down as you save more because you won’t need to borrow as much. Plans to increase your deposit savings through tax advantages may be available to you.
· Find the right area and home
First, set up some fundamental standards for your search for a property. Consider the number of bathrooms, bedrooms, and parking spots you will require. Then, find the right area that offers all the amenities and better living standards. If you want your first home to be close to nature but want to enjoy all the facilities of the bustling city, you can definitely find your desired land for sale in Yarrawonga.
· Get pre-approval for a loan
Being pre-approved for a home loan increases your appeal as a buyer and helps you determine how much you can borrow. Starting a few months before you intend to purchase is a good idea because this process can take some time and require various documents.
Step 2: During the Buying Process
Once prepared, follow these tips during you are actually purchasing a property –
· Communicate with a real estate agent
Get in touch with a real estate agent who can offer helpful local history and updates on any projects that could impact real estate values. If you register with the agency, for example, one of Yarrawonga’s real estate agents, you will get regular alerts about possible properties and a relatable list of houses based on your budget and additional requirements.
· Offer and negotiate
Check to see if there is any room for negotiation, even though developers typically give prospective buyers a set price list based on the number of bedrooms, floor space, and type of fittings. An apartment on a higher floor or an extra feature could be offered by a salesperson to sweeten the deal. You should check out what other developers in the same neighbourhood are selling for at a comparable price.
· Make a few home inspection tours
As the development progresses, purchasers will have the opportunity to tour a display suite and examine the site before it is finished. Make sure to explore all of the apartment’s features, such as the cabinets, light fixtures, extraction fans, and taps. Verify that every appliance lives up to your expectations and matches the description you were given.
Step 3: Post-Purchase Duties
After the purchase you can follow these tips to ensure comfortable living –
· Settle in your new home
Although the initial days of homeownership are fascinating, it’s crucial that you comprehend every aspect of the apartment and the building complex. Go through all of the instruction manuals that came with your welcome package. Investigate the building completely, taking in the parking lot, storage cages, and common areas.
· Get along with the surroundings
The first few days after moving in, try to explore the surrounding area both day and night time. Visit the nearby shops, parks and other exploring options. In this way, you will be aware of the environment you are going to live in and find everything easily in times of need. Understand the community, their lifestyle and culture to make yourself comfortable in the specific area.
· Handle money after a purchase
Make sure you have enough money for all of the extra costs that come with purchasing a home, including insurance, moving costs, and service connection fees. Keep in mind that you are also liable for all utility bills and the quarterly strata fees as the owner of an off-the-plan apartment.
Last Words
As interest rates are anticipated to decline and real estate values remain stable for the time being, starting of 2025 seems to present a favourable climate for first-time homebuyers. You might have an advantage if you act early in the year before the competition heats up. So, don’t delay and start your home-buying journey with this guide.
If you are interested in enjoying all the modern amenities while living in a peaceful atmosphere near Lake Mulwala, then contact us today and explore exclusive houses for sale in Yarrawonga.
