What to look for when searching for your Warrnambool dream home
Purchasing your first Warrnambool home, or even your first investment property in Hamilton, Colac or Camperdown can be a process loaded with emotion and stress.
Being such a big – and usually exciting – purchase, it can also be easy to get caught up in the thrill of finding the house of your dreams – even if this so-called dream house doesn’t tick all your previously-prepared boxes of priorities.
To try and help you avoid losing perspective during the thrill of the chase (and the discovery of that dream home or ideal property), we have compiled a list of questions to keep in mind when you’re putting time into looking for the perfect purchase, be it a house to live in, or an investment.
1. How much can you borrow?
Falling in love with a property that’s beyond your budget will only lead to heartbreak.
You can avoid this by being clear on your borrowing power before you begin your search.
As your Mortgage Broker, we will be able to calculate what you can afford, so you won’t spend time trawling through lists of houses that are outside your price range.
2. What do you want in this property?
How long is a piece of string? The clearer an idea you have of what you want and need in your property, the easier it will be to research the local market, and know when the right kind of property comes along.
And we’re not talking so much about how the property looks (although we appreciate this is important to many people). It’s essential to consider how the property functions. For example:
- Why are you buying the property? Is it to rent out? To raise a family? To live in for a few years, or 30 years?
- What do you need? Three bedrooms? Four bedrooms? Two bathrooms? A garage? A backyard for the dog?
- What are the features you really want? An ensuite bathroom? An extra living room? A good-sized kitchen?
- What’s your appetite for ongoing repairs and maintenance? A new house usually costs less to maintain. An older house (that might come wiht plenty of character) can also come with plenty of maintenance needs.
- Who might rent your property (if it’s an investment) Who would potentially rent your property or buy it when you decide to sell?
3. Where do you plan to buy?
You know the saying… location, location, location. This is important, so make sure you’re clear on where you want your property to be.
Whether it’s a home to live in, or to rent out, you want to make sure it’s a property located in an area with good potential for capital growth.
Ideally, you’ll be looking in areas that are the early stage of growth, rather than the peak. If your first choice of location isn’t delivering the goods, look to the surrounding area.
Another consideration is what’s around the area; is there good schools? Is there community facilities, like playgrounds, health services or open space about. Is parking sorted? What about things like shops, or access to public transport (although this can be a different scenario in rural areas than it would be in more built-up regions.)
Our Mortgage Broking team has access to comprehensive and up to date market reports that will give you a good snapshot of the area you are considering. Please reach out to us if this would be helpful for your research.
4. What condition is the property in?
It’s not all about street appeal! Make sure that you also either take a good look – or get a professional to take a good look – at the condition of the property.
A quick list of what to be on the look out for includes:
Inside the property:
- Check the ceilings for water stains and the cornices for waviness – these can indicate water leaks
- If there are carpets, check the situation underneath – if there’s cement or floorboards
- Is the floor even? Or sloped?
- Building and pest inspections are well worth it. Let us know if you would like us to refer some reliable experts who can help with this.
Outside the property:
- Check for cracks in the brickwork, or issues with the weatherboards. Do they look rotten?
- Check for mildew in the eaves
- Be mindful of cracks in the driveway
5. What’s the cost of the property?
Be as well-informed as possible about other sales in the area – this is the best way to make sure you are getting a reasonable deal. The trick is to make sure you are comparing prices with properties that have similar features and landsize to yours – otherwise you could be comparing apples with oranges.
The other cost to consider is what the property could cost you after you have bought it. You need to include ongoing costs like council rates, strata fees and water rates in your budget.
6. Do you know the property’s rental yield?
If there’s any chance this property could be rented out to others, it pays to have an idea of what you could reasonably attract for weekly rent.
While there are plenty of online tools that will help you work this out, we find that speaking to local professionals can be the most reliable way to get a good understanding of how the local rental market is faring, and what people are paying for properties that are similar to the one you are considering.
Once again, we have a good network of local professionals and would be happy to pass on some referrals if need be – contact us to discuss further.
7. Have you investigated the property’s history?
You may want to get to know the property a little bit more by researching its history. You can trace the history of a property through online archives, street directories, council rate books, and Title Office records.
It’s also important to know if the area or property has been flooded before, as this can greatly affect the property’s resale value.
8. What other professionals will you need to finalise a purchase?
Make sure to consult with reliable professionals (like us) who can give you advice that’s useful in your property hunting journey. We can give you referrals and you can also do additional research. Best practice is to ask for recommendations from friends and family based on their experience with that service provider. You can also check reviews and testimonials.
We hope you’ve found these tips useful and that you soon find the property of your dreams.
We can’t stress enough the importance of doing plenty of research, but we guarantee that the effort will be well worth it in the long run.
If you’re ready to start your hunt for a new home or investment property, get in touch with us today to organise your home loan pre-approval early so you are ready to act fast when you find the right property.