Detailed Guide To First-Home Buyers
                     Detailed Guide 
To  First-Home  
Buyers
By definition, first home buyers are those people who purchase a 
principal  residence for the first time. As a new buyer, both 
excitement and anxiety rule  the state of your mind.
Just after a thought to buy a house, several questions like – what 
to look in a  property, what type of properties are available in the 
market, how to begin the  process of buying a property, how to 
take a loan, which home loan will suit  your requirements, how to 
find a real estate agent, who is the best real estate  agent for you 
etc., will be there on the mind. As a new entrant in the property  
market, it is fine and natural to have such thoughts.
This blog will answer all the queries that has a potential to blow 
your mind. It  will guide you and explain you the entire home 
buying process so that you  enter the market with confidence.
Definition of First-Home 
Buyer
Anyone who has not previously owned a 
house or a  flat and also has no property to 
sell is classified as a  first-home buyer. Or 
we can also say that anyone  who is 
getting a mortgage who is neither a home  
mover or buy-to-let investor, or even 
simply  mortgaging is also termed as a 
first-time buyer.
Determine the Purpose of Buying a Property
You know that you have to buy a property but first, you 
need to  decide the purpose.
What is Your Purpose?
Are you going to buy a property to own it and move in 
with  your partner and family, or are you going to buy 
a property to  rent. If you want to buy a house to rent 
it further, it means you  want to purchase an 
investment property.
Whatever the purpose may be, the decision of buying 
is once  in a lifetime opportunity. It must not be taken 
in a hurry. This  will probably be one of the largest 
investments you will ever  make, unless you decide to 
buy a luxury car. So, take the  decision wisely.
“Buying a home is like investing in a luxury for a life-time. A 
single  wrong decision can cause you loss, both emotionally and  
financially.”
Before you take any decision, look into the 
advantages and  disadvantages of owning and 
renting a property.
Advantages of Owning a 
 House
It is a long-term investment.
You secure yourself a valuable asset for life.
You own the land and the building. So, you have 
a freedom  to make changes inside and out the 
home premises.
Have as many pets and children you 
want.  You get to choose the location 
of your choice.
Disadvantages of 
Owing a  
Hidden costs involved – stamp duty, loan House
establishment  fees, and lawyers’ fees.
On-going costs involved like repairs, council 
rates and  others.
May get difficult to buy a home because a huge 
investment  is required.
You may have to settle for less due to less 
budget.
Determine the Costs  
Involved
Hire a right real estate agent for yourself if you are 
considering  to take a big leap into buying your first 
home. Real estate  agents in Narre Warren are 
trustworthy, reliable, and have  years of experience 
in the real estate industry. They stay  updated with 
the changes that happen every day and guide  their 
clients accordingly.
Real estate is quite dynamic and vast. There are a 
lot of minute  things that a lay man may not be able 
to understand or see just  for an example, the 
unexpected hidden costs involved. Only an  expert 
can guide you about the hidden costs.
The real estate agents in Narre Warren will 
guide you from  beginning to the end and keep 
everything upright, and  transparent.
Stamp Duty
This is the tax levied by all Australian territories and 
states on  the property purchases. This tax is paid by 
the buyer and is  levied according to the property 
purchase price, loan purpose,  and the location. The 
stamp duty charge differs as per the  states. This is 
one of the biggest costs that you will have to pay.  
So, it is important to consider it and add it into the 
buget plan  before taking a final decision.
The variation in stamp duty rate depends on 
factors like:  Are you buying a vacant land or 
a house.
Being a first-home buyer.
Buying a home to rent or to reside
Here’s good news!
Some states in Australia offer their first-home 
buyers a  concession on the stamp duty.
First Home Concession
You can claim this concession for transfer duty when 
acquiring  your first home but on meeting the given 
requirements.
The first home concession is applied only to the 
homes that  are valued under $550,000 and can 
save you up to
$15,925.
The concession may still apply for a home valued 
over
$550,000.
You can claim it even if you are not an Australian 
citizen or  PR. But as a foreigner, you may have 
to pay additional  foreign acquire duty.
What is the First Home  
Buyer Loan?
A home loan is an amount of money that is lent 
by a bank or  any other financial institution to 
finance the purchase of a  property.
A first home buyer loan is the type of loan meant 
for people  who look forward to getting their first 
foot on the property  ladder.
The first home buyers can opt for loan to ease 
the home  buying process. There are three 
types of home loans, like:
Fixed Home Loan 
 Variable Home 
Loan  Split Home 
Loan and  Others
Split Home Loan
This is the type of home loan where you divide your 
home loan  into multiple parts like you can nominate 
one portion of the  home loan to have fixed interest 
rate, while you can choose  other portions to have a 
variable interest rate. So, this type of  loan gives 
you the best of both the world.
Why should you avail the 
 benefits of the first 
home  owners grant?
Purchasing a home involves a huge amount and as 
you may  move ahead with each step, the cost 
associated with it can add  up rapidly. This grant is a 
free funding by the government. It is  not a short-
term loan that you have to pay back. Some states in  
Australia offer grants of up to $15,000, which can be 
of a great  help when saving deposit for your first 
dream home.
GET IN TOUCH
3 Withers Ct, Pakenham VIC 3810, Australia
+61 423 277 447
[email protected]
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uyers/