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Your essential property research checklist

Buying your first home or investment property is exciting! Like planning for a holiday, you start researching about the fun things you want to do. Out of excitement, you also start looking up other activities not in the original plan, instead of researching the basics, like accommodation and transportation options. Buying a property is the same, it requires the same level of commitment towards research. But where to start? We’ve put together the essential steps you should include in your property research checklist so you have the perfect property hunting adventure this year!

Research your borrowing power

This first step is as easy as picking up the phone and making an appointment with us! As your mortgage broker, we’ll help you determine your borrowing power and give you a clear understanding of how much you can realistically afford to spend on your new property. In this process, we’ll get to know you financially. Having an accurate idea of your borrowing power will help ensure that you’re looking in the right price range from the very start.

Research the criteria for your desired property

It’ll be easier to research the property that you’re looking for when you have a set of criteria. With a lot of quality properties to choose from, it’s easy to fall in love with aesthetics, so it’s important to make sure that the property meets your requirements. Here are some useful questions to ask yourself when listing down your set of criteria.

What is your main purpose or reason for buying a property?

How long do you plan on staying in the property?

Do you have a budget for ongoing repairs and maintenance?

Who would potentially rent your property or buy it when you decide to sell?

Research the suburb and the surrounding area

So, where do you plan to buy? Whether you’re a home buyer or an investor, the aim is to purchase in a suburb with solid capital growth potential. It’s also better to buy in a suburb where it’s in its early stages of growth, rather than at the peak of a growth cycle. The surrounding area is also worth looking into. Get to know the local transportation situation, as well as local facilities located at a walking distance or just a short drive away. We can provide comprehensive market reports, so please reach out to us if this would be helpful for your research.

Research the property

When inspecting the property, check both the inside and outside conditions. Here are some items to include in your checklist.

Inside:

Check the ceilings for water stains and the cornices for waviness – indications of water leaks.

If there are carpets, check the situation underneath – if there’s cement or floorboards.

Be mindful of the evenness of the floor.

Get in touch with us, your mortgage broker, for referrals on building and pest inspections.

Outside:

Check for cracks in the brickwork.

Check for mildew in the eaves.

Be mindful of cracks in the driveway.

Research the price

It’s best to compare prices with other recent property sales in the same location to make sure that you’re getting a reasonable deal. There are a lot of online resources for this, where you can research property sales in a specific location, and you could compare with other properties with comparable conditions and land size. Don’t forget to also include ongoing costs in your budget. Research the ongoing costs that will be applicable to your desired property, such as council rates, strata fees, and water costs.

Research the rental yield

Consider the average rental yield of the area and the property. This means finding out the potential rental income. If there’s a strong demand in the area, the rental yield may be higher. On the other hand, if there’s a high vacancy rate, the rental yield may decline. There are useful online resources where you can access market reports on specific areas. The data include details about median prices, growth rates, and rental yields. This part can get technical, but you can ask us for a property report and we’ll gladly explain the details to you.

Research the history

You may want to get to know the property a little bit more by researching its history. You can trace the history of a property through online archives, street directories, council rate books, and Title Office records. It’s also important to know if the area or property has been flooded before, as this can greatly affect the property’s resale value.

Research the professionals you’ll need

Make sure to consult with reliable professionals (like us) who can give you advice that’s useful in your property hunting journey. We can give you referrals and you can also do additional research. Best practice is to ask for recommendations from friends and family based on their experience with that service provider. You can also check reviews and testimonials.

We can’t stress enough the importance of doing plenty of research before purchasing a house or an investment property, but we guarantee that the effort will be well worth it in the long run. And of course, we are here to help you every step of the way!

Why debt consolidation could help you get over your Christmas spending headache

Well, Christmas and the silly season is over for another year. We hope you enjoyed quality time with family and friends, even though it has also been a costly time. We imagine you spent a lot on presents, food and then the summer holidays on top. Before you know it, your Christmas spending spirit has already overtaken your Christmas budget!

Have you just found yourself in Santa’s ‘naughty’ list because of your silly holiday spending? The good news is that I can help you get your finances back on track! Mortgage brokers don’t just organise mortgages, we also provide the right finance solutions for your individual needs and circumstances. To help you get your Christmas debts under control, you might want to consider consolidating your debts.

What is debt consolidation?

Debt consolidation works by taking out a low-interest loan and using it to pay off all your high-interest debts, such as credit cards, store cards, pay-day loans, and after-pay accounts and the like. So how could debt consolidation help you get over your Christmas spending headache?

Here are the top benefits of consolidating your debt.

It makes your debts easier to manage

Debt consolidation involves rolling all your existing debts into one, making it easier to manage. Instead of having to keep track of multiple repayments to multiple parties – and on different due dates at that – debt consolidation means you’ll only have to make one convenient repayment each month, cutting back time and paperwork. With only one repayment to remember, you can create a budget and stick to it more easily.

You decide how you want to consolidate your debt

There are generally two ways to consolidate debt. You may consolidate your debts by either taking out a personal loan or by refinancing your home loan. This is where you essentially refinance your mortgage, so you can get some cash to pay off your debts. As your mortgage broker, I can access both home and personal loans with competitive rates. With two options, you can compare them and decide which will work best for you.

It may help reduce interest fees

Different types of debts have different interest rates. Credit cards, as a form of unsecured debt, usually have high-interest rates. Home loans and personal loans, on the other hand, usually have lower interest rates. Choosing between the two to consolidate your debts means less of your money will go to paying interest fees.

Repayment is flexible

Debt consolidation means your monthly repayments will be spread out over a long period of time, offering more flexibility. This will make it easier to repay your debts and creating your personal budget will be a breeze. If you choose to refinance your home loan, you may even be able to make extra payments so that you can pay off your debts sooner.

Find out today if debt consolidation is right for you

As with any other loan options, debt consolidation is not applicable to everyone. It all depends on your current financial situation and goals. Some may end up paying more accumulated interest over the life of the loan, versus paying off a credit card debt with a shorter period. There are many factors to consider before deciding to go for debt consolidation, so it’s important to first speak to a mortgage broker (like me). I may be able to suggest other ways to get back in control of your finances.

Have you blown your budget last Christmas? Don’t panic – I’m here to help! Reach out today and let’s help you make it back on the ‘nice’ list this year!

New year – new goals. What are your new year property resolutions

Happy new year! How are your new year’s resolutions looking so far? Have you taken the first step to achieving your goals during the first few days of 2020? Maybe we can help! Of course, we probably can’t motivate you to lose weight or exercise more, but as your mortgage broker, we can help you achieve your property goals this year.

Don’t know where to start? Check out these property goals and how we can help you achieve them.

Buying your first home

This could be the year to buy your first home! Isn’t that exciting? Home values have increased over the last decade while mortgage rates drop, so now could be the right time to consider taking out a home loan. Get in touch with us soon, so we can help you get on the property ladder for the first time. We can help you by:

Determining your borrowing capacity.

Creating a budget for your purchase and a savings plan for your deposit.

Exploring alternative ideas for a deposit, such as a guarantor’s home loan, for example.

Helping you plan on how to clear off your debt and/or improve your credit report to make you a more attractive prospect for lenders.

Going through grants, concessions, or other initiatives to get you into your own home sooner.

Giving you referrals for reputable professional valuators, conveyancers, solicitors, and accountants.

Organising pre-approval on your home loan, so you know how much you can spend and save time on your property hunt.

Managing all the loan application paperwork.

Moving into your next home

Upsizing, downsizing, sea-change, treechange, job requirement – there are different reasons and motivations for moving into your next home this year. There are a lot of great options that it may get overwhelming. Even if you already know how to purchase a home, you’re bound to have questions when buying your next place. To make sure you grab a bargain, you can ask us about:

The costs involved.

Property and market reports to help guide your purchasing decision.

Using the equity in your current home as a deposit.

Bridging loan.

Investing in property

If you have no plans of moving into a new home yet, purchasing an investment property is also worth considering. Save time planning and researching by speaking to us to help you with:

Comprehensive property and market reports to help you choose the right property in the right location.

Comparing the loan market to find the right loan products that meet your strategy.

Making computations.

Referring you to reputable property managers and other professionals.

Working with your accountant and/or financial planner on your investment strategy.

Getting loan pre-approval and ensuring your loan application goes smoothly.

Accessing equity in your home or from another investment property to use as a deposit.

Better management of expenses and cash flow

You can maximise your borrowing capacity by managing your expenses and getting on top of your cash flow. As your mortgage broker, we can help you in this area by:

Helping you understand your current financial health.

Providing you with options for debt consolidation.

Referring you to reliable professionals who can help you organise your financial affairs.

Renovating your current home

If you’re thinking of renovating or expanding your current home this year, here are the ways we can help you in this area:

Run through your plans to determine how much money you will need and how much you can borrow.

Explain your finance options for renovations, to help you choose the right loan.

Provide you with valuable insights into what to expect when renovating to keep you from being financially overwhelmed.

Ready to plan your 2020 property goals?

A goal without a plan is just a wish, so let’s get started on planning today and make your goals a reality this 2020! Please get in touch – we look forward to working with you in achieving your dream home or investment property.