Are you on the market to buy your dream home or are you a property investor but are a bit touch and go about buying property? There recently has been a bit of uncertainty in the market due to rising property prices in most capital cities and investor disincentives.
Here are the 5 most common fears and how you might be able to overcome them:
- Property has become too expensive
If the property in your dream suburb is way above your budget, you might want to consider broadening your horizons to nearby suburbs. It will also help to determine what you can live without and what you can’t or what you can compromise on e.g. a garage for a car space, a nice spacious property for one with a smaller floor plan, a backyard for a balcony, a property with water views for a property with district views.
- Going into debt
It is lovely and free living without debt and having the ability to pay cash for everything.
Not all debt is the same! Wealthy people across the country understand the difference between bad debt and good debt. You can use debt responsibly to acquire wealth or live the life you dream of.
- It’s too hard to get a loan
If the thought of comparing loans from different lenders is giving you a headache, work smart and use the services of a good mortgage broker who will do all the legwork and organise the loan for you. Mortgage brokers understand the different lending policies of different financial institutions and can point you to the correct lender for your needs.
- Don’t want to be tied to a loan for 30-years
Most loan terms are usually 30 years but, this doesn’t mean you have to stay with the same loan for 30 years. Refinancing a loan with another lender or selling the property due to changing needs (for example upgrading to accommodate a growing family) is very common. Before signing for a loan, be sure you ask your mortgage broker or lender, the exit clause and costs of exiting the loan.
- I don’t have my cash deposit ready
You can look at alternatives to a property cash deposit. This may come in the form of equity in your existing property or a Deposit Guarantee. Our Deposit Guarantees are the quick and easy solution to your deposit needs. It can be issued for up to 10% of the purchase price and are great for buying by negotiation or by auction. All you have to do is pay the full purchase price of the property at settlement.