Page 12 - Smartline eBook - First home buyer
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Getting into your first home sooner
When you’re a first home buyer, saving for a home deposit can seem to take an eternity. And, in a fast-moving market, by the time you’ve saved what you thought you needed, you may end up finding you need even more.
With that in mind, here are some tips to getting into your first home sooner.
Buy in an up-and-coming area
Instead of buying exactly where you want to live, consider buying in an area that’s nearby but not yet as popular. This could be a smart financial move, too. Suburbs that are “catching up” to established ones often experience greater capital growth as they become more popular with buyers like you.
Downsize your expectations
If you’ve been looking at houses, have you considered an apartment or townhouse instead? Could you lose a bedroom and save money? Buying a smaller home may even give you the chance to add value by extending when you can afford to.
Buy off the plan
If you buy off the plan, there’s a longer gap between paying the deposit and settlement because you usually won’t have to pay the full amount until your property is completed. Use that time to save more. While you do, in a rising market you may find you’ve made a capital gain. And to top it off, because you’re buying a new
home you may even be entitled to a First Home Owner Grant and some stamp duty concessions.
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First home buyer guide