How to avoid paying too much for a home


When going through the process of purchasing a home, you want to make sure you have done your research and calculations. Otherwise, you could end up paying too much for the property.

Set a benchmark

An excellent way to get an idea of property prices in the area is by comparing nearby properties that have recently sold. When doing your research, be sure to compare properties that have similar land size and number of bedrooms. Researching similar properties is a great bargaining tool when it comes to negotiating with the seller or agent.

Keep in mind current market conditions

The housing market has its ebbs and flows and is forever changing, once you have done your research on the type of property and suburb you’re looking at, sit on it for a few months. Another approach is to attend auctions and open homes on a regular basis to gain some insight on how much similar properties are selling for.

Expand your search

A good idea is to extend your search a little further than the suburb you want to live in. By looking at the suburb next door, you may be able to find a more affordable home.

Don’t exceed your financial capacity

When you put together a budget for your new home loan be sure to make room for any maintenance and repair costs, as well as any other expenses you may require throughout the purchasing process. Also, when you’re going through the application process with a lender, make sure you don’t exceed your financial capacity- if you get approved for a higher amount, doesn’t mean you have to accept it.

Bring in the experts

Purchasing a home is one of the biggest transactions you will make throughout your life. If you aren’t confident about making the right decision, you can call in an expert such as a buyers agent. A buyers agent has no emotion attached to the purchase therefore which will come in handy when they handle the negotiation or bidding at an auction for you. If the cost of a buyers agent is a bit stretched for you, you can hire their help for a part of the process.

Having an experienced broker on your side is key to steer clear of overpaying for your finance. We will find the best loan for your situation and make sure it is one that keeps you financially comfortable.