First 'home' buying

[steved]

Hi all

I am considering diving into this fun-filled game. So far I have a deposit, and I have organised a meeting with a broker. As a total n00b, if anyone has advice it would be much appreciated. I would like to understand a little of the process before the meeting. I am interested in the role of lawyers, mortgages, brokers, steps of buying etc. I understand that this is a fairly large question, and a fairly daunting endeavour for the unexperienced (me).

Cheers

[bugjuice]

can't offer any advice, but I'm about to do the same thing, so I'll be having a good read thru too..
Good luck dude

[WINJA]

i know mike pero are quite good as far as brokers go theyve cleaned up their act alot of brokers havent .
when you buy a house you should consider that you dont have to live in it

[Grahameeboy]

Hi all

I am considering diving into this fun-filled game. So far I have a deposit, and I have organised a meeting with a broker. As a total n00b, if anyone has advice it would be much appreciated. I would like to understand a little of the process before the meeting. I am interested in the role of lawyers, mortgages, brokers, steps of buying etc. I understand that this is a fairly large question, and a fairly daunting endeavour for the unexperienced (me).

Cheers

Simple the Broker will tell you all......they get commission from Bank not you so should be honest........you can make an offer subject to conditions so whilst it seems scary you can protect yourself

[emaN]

I am interested in the role of lawyers, mortgages, brokers,

they take the pingas, you get a big debt.
but it's worth it...so i'm told.

is your mortgage broker 'proven'? ie-have friends/family used him/her?

he/she will look at your assets & liabilites, income & expenditure and let you know what you can afford.
goes from there..

and if you don't know/are confused by something, ask Q's, have it explained!!
you're the one who's gonna end up with the mortgage,so ask Q's!

good luck!

[**R1**]

i know mike pero are quite good as far as brokers go theyve cleaned up their act alot of brokers havent .
when you buy a house you should consider that you dont have to live in it

And make sure the roof is painted??

[Lou Girardin]

Don't trust Real estate agents. Believe me on this, I was one for 11 years.
Take everything they say with a large grain of salt. Ask them questions like, "do you know of anything about this property that could affect my decision making".
They'll love you for it.

[Devil]

Ditto on the ask questions part.
You can negotiate a better deal with banks. Screw them for as much help with legal fees as possible! It adds up very quickly!

[Drum]

If there is one rule to follow then it is: Never sign anything until your lawyer has had a look.

Take a look here:

http://www.jenman.com/BS_B_13Worst.p...79fabc1d7e5cc4

I also recommend working out how much you can afford. Then add another 5% to the interest rate. Then remove your partners income. Then add another mouth to feed. Then work it out again.

Good luck!

[cowboyz]

real estate agents.. they do nothing and get paid alot for it. They are working for the VENDOR. They are not working for you!! I can't stress this enough. When you get sick of them tell them to go away. In the mean time ask every question that comes into your head. Make them do *something* for that commission they are making. It anit small change.

lawyers... they do nothing and get paid more for it. You need one. No idea why you need one.. It is a bit like your riding gear. If everything goes bad you will be so happy you have a lawyer.. But then if all goes well (which we hope it does) then you will wonder why you just gave that lawyer a grand for a few letters.

banks.. They will have you believe that they are doing you a favour by lending you the money... In reality it is you that is doing the bank a favour by giving them a shit load of interest money.

Make the purchase conditional. Condition of finance is a must. And if something goes wrong or you change your mind about the house it is the easiest way to get out of the contract. Just say, sorry, we can't finance this now and all is gone. When we brought this place it was a condition on the contract that the house could recieve JetStream. The real estate agent bitched about it alot saying she has never seen a clause like that in any contract that she has been involved in. First time for everything.

My last advise is don't haggle. Make your terms. Set your price. If they don't like it then there will be another house. I have seen a few people try haggling with lawyers and agents and after you start with your lowest price and add a little bit and add a little bit you end up way over your highest price.

Best of luck to you.

[Beemer]

Don't rush in - we were in the same position as you a few years ago and nearly ended up becoming the owners of a place that was at least 30 years older than the real estate agent said it was! Make sure you get a building inspection carried out and make any offers conditional on it if there are any doubts. Try not to let your heart rule your head and work out what you want BEFORE you go looking. Write a list of the must haves (such as the number of bedrooms, location, garaging, fully fenced, size of rooms, aspect - sun, etc) and then things you would like but aren't essential (decking, easy-care grounds, study, etc) and then start looking. Go to as many open homes as you can, to get a feel for what is out there and what price is being asked. If you find a good agent, grab him quickly! Ours was excellent, we didn't really know what we wanted so he took us to a range of different places and each one narrowed down our search. The only thing wrong with the place we eventually bought was the gravel driveway - which we had concreted immediately.

Depending on where you are buying, find out what could happen in the future. A house a few kms from here has been sold twice in the time we've been here and is on the market again now - because the large farm block that surrounds it on three sides has been sold and there are plans for a subdivision that would ruin its peaceful outlook and privacy.

Go back at different times of the day too - and on Friday and Saturday nights - you'll soon find out where the sun is and if the neighbours are hoons!

[Devil]

As someone mentioned before, work out your budget carefully. Dont forget to take into consideration rates!

[_Gina_]

Hi all

I am considering diving into this fun-filled game. So far I have a deposit, and I have organised a meeting with a broker. As a total n00b, if anyone has advice it would be much appreciated. I would like to understand a little of the process before the meeting. I am interested in the role of lawyers, mortgages, brokers, steps of buying etc. I understand that this is a fairly large question, and a fairly daunting endeavour for the unexperienced (me).

Cheers

I highly recommend using a broker, and specifically this guy:
Adam Henden
Mortgage Manager/Franchise Owner
Office 09 306 6680
Mobile 027 577 5995
Fax 09 307 2062
adam@mikepero.co.nz

He was brilliant (just bought a place in December)
$850.00 legal fees and a brilliant concession off the interest rate (lady at the bank was amazed)
Also the communication was excellent and they come to you!!

Good luck and as others have said, do the calc's again to include a higher interest rate to see if you can handle it.

Gg

[HDTboy]

ManDownUnder wrote a large comprehensive post on the ins and outs of this about 9 months ago, if you do a search you might find it

[Lou Girardin]

Don't hesitate to screw the real Estate shark on his fees when the going gets sticky.
You don't actually pay the fees as a buyer, but you can make the suggestion.
They certainly won't.