Donnette

Whether youre a first home buyer, a property investor or you just want a change of scenery, house hunting can be an exhausting and confusing experience but it does not have to be. With a little careful planning and forethought, it can actually be a pleasure!

1. Be realistic: Before you start house hunting, determine your budget by figuring out what you can afford in monthly mortgage repayments. Allow for ongoing maintenance costs, rates, family expenses (such as schooling), holidays, insurances and other living expenses.

2. Get pre-approval: If possible, have your bank or mortgage broker obtain a pre-approval for a home loan. This will determine how much you can afford to spend and enable you to make a genuine offer when you do find the house of your dreams.

3. Needs versus wants: You may want a seven-bedroom, five-bathroom house with a heated pool, four-car garage, gourmet kitchen and spectacular water views, but do you really NEED it? A spare room might be nice, but if your budget is tight it may not be affordable right now, so think carefully about what you need before you start house hunting.

4. Make a checklist: Write down the features interior and exterior you want in your new home and take the list with you on your inspection tour, marking each item with a score from 1 to 10. Features might include the size of the property, condition of the bathrooms, proximity to schools, etc. Again, make sure your checklist includes things that are most important to you.

5. Snap it: Take a camera to capture a quick image of each house that could suit you. This will help you to recall what youve seen at the end of the day. Its also a good idea to carry a small note book and record details about each property that may not be included in advertising or promotional material.

6. Dont rush: Buying a home can take time, research and careful thought, so dont make a decision just because you feel pressured, tired or emotional. Carefully weigh the pros and cons of each property you inspect and then and only then if it suits your requirements, make an offer. Keep in mind the property that suits your requirements may also be the first one you see.

7. Get a second opinion: Before you make a final decision its a good idea to have the property inspected by a professional building and pest inspector. They can point out any faults you may not have noticed, including problems in the roof, foundations, walls or general construction.

8. Other costs: Before you make an offer, find out how much the rates or other maintenance expenses are on an annual basis, then add these to other expenses to determine how much you can afford to spend (see point one).

9. Look at potential: When looking at a property, try to look past old dcor, peeling paint or overgrown landscaping and focus instead on its layout and size. Cosmetic shortcomings can always be fixed once you buy the house.

10. Be competitive: When you find the house that suits your needs (as opposed to your wants) make an offer that is fair and in line with the current market. Keep in mind youre probably competing against others to buy the house, so a reasonable initial offer will let the seller know youre serious.

* Jennifer Schelbert Dip. Fin. Serv. /FinMBM is a director of Mrs. Mortgage, a licensee for Choice Aggregation Services, a member of COSL and a Full Member of the Mortgage Finance Association of Australia.

Disclaimer: This article is for information purposes only, and must not be relied upon as a substitute for professional services or legal advice.

Jennifer Schelbert Dip. Fin. Serv. /FinMBM is a director of Mrs. Mortgage, a licensee for Choice Aggregation Services, and a member of COSL and a Full Member of the Mortgage Finance Association of Australia.

Phone 61 3 9315 9750

http://mrsmortgage.com.au