Do you dream of having their own home? Are you fed up of paying rent? Want to use your money for something constructive that bears fruit for you? Do you have surplus cash from your salary or business to invest and reap great returns?
Moving from being a tenant to a property owner by purchasing your own home takes courage and careful preparation but it can be done. Putting surplus cash from your income to work can create a steady income for you. However, you don’t want to fall into any traps.
At Home Loan Saint, we suggest you take these five steps before you purchase:
- Look before you leap. Buying House can be attractive especially in Melbourne. Make sure you undertake due diligence on House you are thinking of buying. Become a home-buyer in an area that is going to continue growing. Check out current and future infra-structure. If you’re investing to rent, make sure the area is one that will be popular with tenants.
- Find the right location. Choose where you want to locate your home or rental property carefully. Take time to find out details from the Local Council and other authorities. You need to know that the location works for you as a home owner or attracts tenants to your investment property.
- Thing about leasing. You can win by renting out the property while you continue to pay rent yourself. Look for a house that can generate an income greater than your loan repayments. You enjoy all the benefits of your current location and gain an important asset. Of course, if you’re investing, you want to know you can rent out the property as soon as possible.
- Take care of your cash. Don’t over invest in property to the detriment of your cash. The property market in Melbourne fluctuates, so make sure you calculate your needs over the long-haul. Cover yourself for good times and bad. Becoming “asset-rich but cash-poor” impacts your lifestyle and can threaten your ability maintain your purchase costs whether building for yourself or creating an investment portfolio.
- Pay more now. Choosing a best-rate Fixed rate mortgage for your house purchase will help you win over time. While the cost of purchasing a Melbourne house can represent a greater percentage of your income now, you have peace of mind knowing the rate remains the same in the future. Knowing that you mortgage payments remain the same will help you better manage your finances.
Home loan saint know all about Mortgage Solutions and help clients with end to end process. Come and talk to our experts before you buy for pre approval of your Home Loan and to know your borrowing capacity. We have experience in Melbourne and assisting many clients in buying their first home or investment properties. We work with many lenders to our client the best home loans in Melbourne.
