Is this the right home for me? Some smart questions to ask before buying a home.
Buying property can be a daunting experience at the best of times. Often, it will be one of the biggest decisions of your life, with many factors to consider. Whether you are a first-home buyer, upsizing, downsizing, or looking for an investment property, buyers should take the time to research the property fully and ask some important questions. This will help to avoid buying a property that is unsuitable to your needs or, worse, a lemon.
Here are a couple of things it probably makes sense to consider:
- What are the inclusions in the sale? The front page of the contract covers any inclusions in the sale of the home. Anything that is a fixture is typically included in the sale, like the oven, dishwasher and solar panels. It’s essential to take note of what the inclusions are and if any need to be added before contracts are signed. Take a good look at the property and talk to the agent during the inspections; ask as many questions as you need. The agent should be well-educated on the property and be willing and able to follow up with the vendor to get you all the information you need. We think it is only fair that all the inclusions are in good working order. It is something we review with our sellers before hitting the market. But don’t assume that is the case with every agent in Newcastle. Before you sign on the dotted line, make the time to go back through the property and check everything. Legally, you are buying the property in an ‘as is’ condition. So, if there are any issues, let your solicitor know early to avoid disappointment later.
- Are there any easements on the block of land? Your conveyancer should thoroughly review the contract with you when buying a home. One thing they should be discussing with you is any easements on the land. Easements refer to “the right to cross or otherwise use someone else’s land”. Easements may be in place to allow other properties access to power and water. If there is an easement, it may impact you extending your home in the future or building additional infrastructure in the yard, even adding a pool.
- What is the location actually like? When moving to a new suburb or even a new town or city, researching the local area is essential, not only for lifestyle reasons but also for the home's resale in the future. Is the home close to shops? What school zone is the home in? Are there alternative schools close by? What are the crime statistics? Can I hear the nearby main road? Are there parks or playgrounds within walking distance? What is my commute to work? What are the neighbours like? Work out what lifestyle issues are important to you, go to the property and neighbourhood at different times of the day, and take note.
- Are there underlying issues with the location? Buying a home that is close to shops and cafes is always great. But is there any other development scheduled for the future? In recent months, there has been talk about the Broadmeadow Place redevelopment. And even a nuclear power plant at the bottom of Lake Macquarie. Suburbs with train stations could potentially allow for more multi-storey apartment buildings. These things may never eventuate in our lifetime, but even their plans could impact future values. Spending time researching future government plans and proposals may prevent you from making a costly error.
- Is there room for growth and development? You may be a first-home buyer, a couple with no kids looking for an affordable home to escape the rental market. But in a few years, you might love the area but start out growing your home. Making sure you can extend the house, build a granny flat or add a pool are important considerations when choosing your home. Again, making sure you understand the contract, contacting the local council and checking that future plans are doable will help you make a smart buying decision in the present.
- How much do homes sell for in the suburb? Understanding the current local market will help you decide if the asking price for the home is reasonable. You can find this data on any real estate website, looking at the asking prices of homes currently on the market and sale prices of homes sold in the past six months as a comparison. Going into negotiations with the agent armed with facts will assist you in either confidently securing your dream home or knowing when to leave negotiations and avoid overspending. You can find many online estimates of properties. I’d be giving these a wide berth as they don’t factor in things like improvements, presentation and recent sales results. Buyers claiming to know a home's value because they read it online often miss out and regret that decision later.
The house you want to buy probably won’t be your forever home. While it is great to plan for the future, you never know what is just around the corner….
