Buying a house can be a fairly smooth and stress-free process if you are supported by the right team. Involving experts who can provide the right advice and support you every step of the way can make a huge difference! Whether you are a first-home buyer looking for the right house to start your journey, a property investor looking for the perfect addition to grow your property portfolio or a home upgrader looking for your dream home, we’ve got you covered!
These are the superstars you’ll want to involve when buying a house!
- A trusted mortgage broker
- Building Inspector
- Insurance experts
- Buyer’s agent (Optional)
- Property manager (if rental)
Let’s dig deep into the role each member will play in supporting you when you’re looking into buying a house!
1. A trusted mortgage broker
Engaging a mortgage broker who will keep your best interests at heart and provide the right advice is the best decision you can make.
Choosing to do this early on in the process is ideal, as your dedicated Rise High broker can help you get a clear picture of how much you can borrow, how much deposit you should save, and set you up for success by connecting you to the right professionals to build your dream team!
Working with a broker you can trust will enable you to confidently place offers on properties you are interested in, knowing you’ll be able to access the finance needed (whether this be a home loan or investment property loan) to secure them.
As opposed to lenders, mortgage brokers can offer you choice by evaluating different options from a wide range of lenders in the market to present you with the one that is best suited to help you achieve your financial dreams and goals.
When should you choose to engage one?
EARLY ON! Realistically, before you have started looking to buy a property. This can be as early as 2 years beforehand, but ideally, no less than 3-6 months before committing to buying a house.
A good mortgage broker should help you identify your short and long-term goals to set the right plan in place, and be there to guide you throughout the entire process. Since brokers do not work directly for the bank but work directly to protect your best interests, you can rest assured to be in safe hands.
Best of all? Our services are fee-free! So you have nothing to lose for seeking the right advice from any of our award-winning experts.
2. A conveyancer
When buying a house the role of your conveyancer will be to have a look through the contract of sale you would have.
As part of your A-team, your conveyancer can help ensure no encumbrances, easements or potentially harmful clauses are present as part of this important document.
They have your back during cooling-off periods to ensure you are aware of potential issues that could make you walk away from a purchase, and after settlement when the time comes to disperse the funds, ensuring all pieces move as they rightly should.
Ultimately, they will also work with the land title office to ensure all the right parties are named and included as needed in the title.
When to engage one?
You should think about engaging one as soon as you have found a property. Choosing to do so will ensure no loopholes are missed.
3. A building Inspector
Just like your conveyancer, you should be looking at getting a building inspector involved as soon as you find a property. If you are thinking about buying at auction, you may even be keen to have one in mind even before!
The role of your building inspector will be to… inspect the property!
Why is this crucial when thinking about buying a house?
Because failing to engage one can translate into missing out on identifying structural issues, pests and termites that may come with your property (which are often NOT covered by insurance!), and other potential issues that could cause true headaches down the line.
The reason why you may want to engage one before attending an auction is that if you become the successful bidder at an auction, the property is yours the moment you are declared successful (regardless of conditions the property may have that you may not have been aware of). Working with a building inspector before the auction to make sure the property is in good condition can save you lots of trouble (and money!).
4. An accountant
Accountants are great to include in this team because they can help with setting up the right structure for your loan and make the most out of your purchase before you enter into a contract.
- ensuring you can maximise your claims come tax time,
- providing sound advice to identify the loan structure that would serve you best (purchasing the property in the name of a trust (instead of your own) or setting the loan structure under one applicant mainly, for example), or
- ensuring your finances are set to successfully meet your repayments, are a few of the great benefits that come with engaging one.
If you are self-employed, your accountant can also help by making sure it all runs smoothly considering fluctuations in your income and the structure of your business.
5. Insurance experts
Buying a house or a new property is a HUGE investment. At Rise High, we are very committed to supporting you throughout the entire process and believe that making sure your assets can remain yours, should be one of our top priorities.
As your mortgage brokers we often advice our clients to have a look into obtaining the right level of protection.
Whether that be income protection, loan protection, or even life insurance, taking the time to think how you can protect yourself (and your family!) if the unexpected occurs, is crucial.
Without the right level of insurance, your may be unable to meet your repayments and lose the home you have worked so hard for! Long-term illness, the loss of a job, a change in personal circumstances can all have an impact. Fortunately, insurance can help protect your investment if any of these were to occur.
Building and contents insurance can also be important to ensure you are covered against loss or damage. If you are looking to get an investment property, landlord insurance can also come in handy should you face any issues with your tenants.
Taking a small step to choose the right level and type of cover could potentially save you thousands, helping you keep your peace of mind today and well into the future!
6. A Buyer’s Agent (Optional)
Engaging the services of a buyer’s agent is extremely helpful if you are looking for help with finding a specific type of property or are interested in house price negotiation.
Buying a house that meets your budget, location and other specifications you have in mind is much easier with the help of an expert whose main purpose is dedicating his time to do so!
However, this service does involve an additional cost or fee, which is why we often recommend it for investors who are looking for a property with specific criteria, or looking to buy in an area they are not very familiar with.
As a first-home buyer, you can still find great benefits in engaging one, especially if you are considering to buy at auction or make an offer for your new home. Although they are not usually engaged when buying a home you will live in (most clients prefer choosing a home that feels right for them), they can be of great help to make the auction process less stressful.
Fees often range between $9,000 and $15,000 on average, and should be included as part of your budget if you do wish to engage one. Your dedicated Rise High broker can guide you through this decision based on your financial circumstances and personal dreams and goals.
7. A property manager (for investors only!)
Are you buying a house for investment? If your next property is one you are keen to rent out, engaging a property manager can be of great help.
Ultimately, the role of a property manager will be to deal with the little headaches that can come with managing your new property. These can include things like:
- finding new tenants
- lease renewals, contracts and other paperwork
- quarterly property inspections
- and much more!
Although they do require you to cover an additional fee, we highly recommend engaging one if you are looking at buying a house that will be your first investment property. As an initial guidance, they can help you keep an eye on things you may have otherwise missed, and can help you avoid potential mistakes that could cause big trouble for you as a landlord.
As you increase the size of your property portfolio having a good property manager can be massively rewarding, as it can help you keep your peace of mind knowing your investments are well looked after and everything is in place.
So, what are the costs involved?
Having a property manager on your team can often sit around the 6.5 – 7% mark, costing you about $100-$150 per month.
Buying a house does not need to be stressful!
As your trusted mortgage brokers, our team will be here to guide you throughout this process building the right network and connections to ensure you have a strong team in place! If you are looking to buy a new house to get into homeownership or build wealth through smart property investment, we would love to help!
Get in touch today to learn more about the fee-free service our award-winning brokers can provide to empower and support you!