- Know your full budget before you search.
- Verify the seller, the title and the property independently.
- Use a lawyer and register the purchase.
The Short Answer
Buying a first home is a long process with many places to make costly mistakes. Taking it in order, from budget to registration, makes it manageable. This guide is general information, so involve a lawyer and a licensed surveyor.
Step 1: Budget and Financing
Work out how much you can pay, including the deposit and all extra costs. Explore options such as savings, employer schemes, mortgages and developer payment plans, and compare the terms carefully.
Do not stretch to the maximum. Leave room for repairs and furnishing.
Step 2: Search and Shortlist
Decide the location, size and must-haves. Visit several properties at different times of day. Compare prices of similar homes and note road access, water, power and security.
Do not fall in love with the first house you see.
Step 3: Verify Everything
Have your lawyer check the title, run an official search and confirm the seller identity. Have a surveyor or builder check the structure and boundaries.
Ask for approvals and building permits, and confirm there are no outstanding charges or disputes.
Step 4: Negotiate and Pay Safely
Negotiate using your research. Agree the price and terms in writing, then pay by traceable bank transfer to the account named in the agreement. Keep every receipt.
Never pay cash to an individual without documentation.
Step 5: Complete and Move In
Sign the agreement drafted by your lawyer, complete the registration and collect the original documents. Take photos of the property condition, change the locks and arrange insurance.
Keep your documents safe and make certified copies.
Costs Beyond the Price
Budget for legal fees, agency fees, survey, registration, stamp duty, consent fees, and moving costs. After you move in, plan for repairs, furniture, utilities, property rates and insurance.
Ask your lawyer for a written list of all costs before you agree to buy.
Mistakes First-Time Buyers Make
Common mistakes include paying before verifying the title, relying on the seller for all documents, ignoring the surrounding area, skipping a survey and taking on a loan that stretches the budget.
Another mistake is trusting verbal promises. If it is not in the agreement, it may not be enforceable.
Questions to Ask Before Paying
Ask who owns the property, whether anyone else has a claim, whether the approvals are complete and whether the price includes fixtures and fittings. Ask about service charges and any outstanding bills.
Write down the answers and share them with your lawyer.
Action Checklist
- Set your total budget including fees
- Compare financing options
- Shortlist and visit several properties
- Have a lawyer and surveyor verify everything
- Pay by traceable transfer with a signed agreement
- Register the purchase and insure the home
