Buying Your First Home

Last updated 7 months ago

If you're stepping on the property ladder for the first time, you may feel overwhelmed by the amount of things you'll have to deal with - from assessing a location to taking out a loan. Fortunately, first time buyers in Australia can receive a financial helping hand in the form of the First Home Owner Grant scheme.

Financing your first home

Buying a house in Australia involves a variety of costs, which will need to be taken into account in addition to the final sale price of the property. The amount of money you can borrow is usually based on your salary, and real estate experts do not recommend choosing properties that will cost more than around one third of your income for each year of the mortgage.

It's important not to pay too much money up-front, as although this could significantly reduce your overall mortgage, you need to ensure you have enough money left over for additional costs. This includes Stamp Duty on the purchase price, which can be a major cost for many first time buyers.

First Home Owner Grant

If you're buying your first property, you will likely be eligible to receive a First Home Owner Grant (FHOG) from the government which can help towards the cost. This is paid as a lump sum currently worth $7,000, which is paid directly to the buyer - though there are other determining factors, depending on which state you live in.

Taking out a loan

A mortgage loan may be essential to allow you to pay for your property over time, so it's important to compare different providers to find the best deals. Call Finance Funding Australia on 03 9988 9183 to discuss personal as well as business loans which can be arranged on a short or long term basis as required.