You’re ready to become a homeowner. You’re excited. But also, scared. Gulp. Will you make the right decisions???
The most important thing to remember is you’re not alone. You’ve got friends and family, some of whom would have experience buying property. And you’ve got us—so here are some things to consider when buying a home.
Location, Location, Location
The location matters just as much as the home itself. You can renovate the kitchen but you can’t pick up your house and move it closer to your workplace. Consider:
- Is the area relatively safe? You can talk to potential neighbours about their experiences before buying.
- How far is it from your workplace, school, or other places you visit often? What’s the traffic like—are you going to have get up at 3:00 am to arrive on time?
- Do you have easy access to basic amenities like grocery stores, doctors’ offices and public transport?
- Do you like the vibe? Do you see yourself in the heart of the city with easy access to shops and restaurants… although your yard space may be non-existent? Or do you see yourself in a quiet neighbourhood with a garden, pets, maybe even a pool… although there may be fewer things to do nearby?
Financing
Before looking at homes, you should get pre-approved for a mortgage. That way you won’t fall in love with that perfect three-bedroom only to learn it’s out of your price range. You can also ask yourself:
- What downpayment are we comfortable making?
- How will we cope with our other debt payments?
- What other expenses will we have in our new house? Remember, your mortgage isn’t the only cost—there’s insurance, utilities, and maintenance too.
We’re not saying this to deter you; we want you to make the most informed choice. You also want a mortgage tailored to your specific needs. This is a big purchase and you want a financial partner who cares enough to listen to your concerns and address them. And remember, it’s not just the banks who give mortgages. M.O.R.E. (Mortgage for Own. Rent. Equity.) is the only mortgage that allows you to own and occupy, or purchase to rent at the same preferred rate. You can always reach out to us for a more personal discussion.
House Size & Layout
You want a house that matches your lifestyle and – if this is your forever home – you’ll want it to accommodate your future lifestyle as well. So, don’t get distracted by superficial things you can easily change, like décor. Instead, consider these issues:
- Square footage: How much space do you need? Is there enough storage? Will you need more space in the future; for example, if you plan to expand your family?
- Does the layout of the house suit your needs? A house can be 1,500 square feet, but most of that can be taken up with a large open plan kitchen/ living/ dining space. Are the number of bedrooms and bathrooms adequate?
- What is necessary and what would you be willing to compromise on? If you cook a lot, you probably want a kitchen that gives you enough space. On the other hand, a home office may be nice but if it’s out of your price range, you can work at the dining room table.
Insurance
There are two main types of insurance for residential properties and most lenders will insist that you get insurance. But we promise it’s not complicated.
- Houseowner’s insurance covers the building including walls, gates, fences and swimming pool.
- Householder’s insurance covers the contents of your property (think furniture, appliances, jewellery etc.).
And you can get both for comprehensive coverage for the building and its contents. You worked hard for everything you’ve got and you should try to keep it safe!
Buying a home isn’t just about snagging four walls and a roof—it’s about finding a place you love, a place you can build the rest of your life in. Take your time, get the right people to help, and ask all the questions you can think of. You can always talk to an agent about your unique situation. And one day – maybe soon – you’ll wake up in your own bed, in your own house and smile.
