Wanting to get a foot on the property ladder? Here are five strategies to help you get there
As a young would-be home buyer, it can be tough getting a foot (or even just a big toe) on the property ladder. To help set Aussies up for success, CreditSimple.com.au spokesperson Emily Price provides her top tips for first time buyers to get started.
1. Use your score to leverage a better deal
“The first step is to check your score via CreditSimple.com.au. If it’s above 700, you’re an attractive customer and you should pick up the phone to see if you’re eligible for a deal tailored to your score.”
2. Avoid making multiple applications
“People often don’t realise that too many mortgage applications can negatively affect their credit score and act as a red flag to credit assessors. It’s always wise to do your homework, assess your options and be selective in the mortgages you apply for.”
3. Be aware of first homebuyer initiatives
“NSW and Victoria recently scrapped stamp duty for first homebuyers up to a certain value. Make sure you look into government initiatives designed to help first-time buyers get on the property ladder.”
4. Consider using a mortgage broker
“Taking out a home loan can be daunting, especially if it’s your first one. Consider talking to a mortgage broker to help you find the best loan for your situation.”
5. View saving as a long-term exercise!
“It’s always best to save as much of a deposit as you can to ensure you have the highest possible equity stake in your home and to minimise interest fees. But remember, for most people savings don’t just appear overnight, and chances are, you’ll need to budget effectively over a number of years before you’re in a position to buy.”
