Rachael and Darryl were looking to buy their first home but had to learn how to manage their expectations. Bryce shares his top tips!
They wanted it to be a practical dream home. They also wanted it to be a good investment and they really wanted the property to do a hell of a lot of things.....
The issue is, when you’re trying to make one property do too many things, is that it actually doesn’t do any of those things particularly well. So, you’re looking at having a compromised property on every level. and at the end of the day I think you'll buy better if you simplify things.
My advice to first home owners is very very simple - that first property that you buy is very likely to not be perfect and you will need to make some compromises but if you do make a good decision and maybe compromise on some of the practicalities of the house to get in a better location, the capital growth that you get over the the time that you’re in the house will mean that the next house that you buy ah will have much fewer compromises that you'll need to make.
Make good compromises on first home. Compromise less on second home. The reality is that very few properties are actually perfect. Tt doesn’t actually matter what rung you are on the property ladder, you will find that, so form a first home buyers perspective, you’ve got to get in the market. Rather than try to save and save and save and save, once you get to a point where you do have a deposit and you can purchase, that’s a time to get into a market. particularly if you’re buying into a healthy capital growth area. because the market growth, if you buy in a good area, will help you save in terms of growth of equity faster than you can actually save in terms of dollars in the bank.
The message is very simple here. If you’re buying a property that’s in a really good investment grade suburb, chances are its better for you to get on the property ladder sooner rather than trying to out save ah the property market