10 things to consider when buying an apartment
Buying your first apartment? From strata fees to location tips, here are 10 smart things to consider before signing the dotted line.
Apartment living can offer many advantages to potential property owners. Whether it’s a beachside pad or an upscale city unit, everyone from first-time buyers to downsizers might opt for an apartment purchase.
However, while owning an apartment can be an appealing prospect for many, there are potential risks and drawbacks to this option. Read on to discover everything you need to know about buying an apartment, so you can decide if a unit is the best choice for you.
1. Location and accessibility
When it comes to apartments, the popular adage “location, location, location” certainly rings true. Be sure to consider:
- Proximity to work, public transport, amenities, shops, and entertainment
- Type of neighbourhood and whether it suits your needs and lifestyle
- Future infrastructure or development plans in the area that could impact your living experience or the property’s value
2. Size and layout
The space and floor plan of the apartment is a key factor in determining whether it’s suitable for your needs. Some factors to think about include:
- Total apartment size and how this is distributed across rooms
- The practicality of the layout based on your living requirements and lifestyle factors
- The amount of available storage space
3. Quality of the build
The build quality of an apartment can impact your comfort, safety, and long-term costs. Pay attention to:
- The history and reputation of the builder or developer
- The quality of finishes, fixtures and fittings
- Any indication of poor construction, such as cracks or water stains
4. Strata fees and body corporate
Strata fees are an important consideration when looking at buying an apartment. Make sure you understand:
- How much the strata fees are and what they cover
- The financial health of the body corporate and its capital works (sinking) fund
- Any upcoming works that may require additional levies
5. Facilities and amenities
Apartment blocks often come with extra amenities and facilities, which can be beneficial, but also affect what you pay in strata fees. Think about:
- Potentially costly facilities like pools, gyms or communal areas
- The maintenance and upkeep costs of the building’s amenities
- How important the apartment facilities and amenities are to you
6. Parking and transport
Parking - or lack of it - can be a frustrating issue for apartment owners. It’s worth considering:
- Whether a parking space is included and if this comes at an additional cost
- The availability of nearby public transport options
- Visitor parking options for guests
7. Noise and privacy
Unlike a standalone house, apartments are more likely to see you living in close proximity to your neighbours. This makes it important to look into:
- Noise insulation levels between units
- General noise levels from the street and surrounding area
- Privacy considerations, such as the proximity of balconies
8. Pet policies
If you have a pet or are planning to get one, you’ll need to be aware of any rules around pet ownership in your apartment complex. Check things like:
- The building’s policy on pets
- Whether you need to seek permission from body corporate
- If there are specific regulations around the type of pets permitted
9. Natural light and ventilation
Having access to natural light and an appropriate level of ventilation is important for your comfort and health. With this in mind, look into:
- The apartment’s aspect and positioning of windows
- Any obstructions that may block light or airflow
- Balcony or outdoor spaces that offer additional ventilation and light
10. Legal and financial checks
Just as with any type of property purchase, it’s crucial to perform all the necessary checks before you commit to buying. This includes:
- Conducting a thorough legal check on the property and its title
- Reviewing body corporate minutes to identify building issues or disputes
- Consulting with a financial advisor or mortgage broker for professional financial advice
As you can see, buying an apartment involves a number of unique considerations compared to purchasing a house. By taking all of these factors into account, you can make sure you’re choosing the right kind of property for your needs, lifestyle and finances.
Armed with these insights, you’ll be ready to embark on your property journey and find an apartment that’s the perfect fit for you.
Keen to learn more about the home-buying process? Check out our other articles and stay in the know about all things home loans.
Unloan is a division of Commonwealth Bank of Australia.
Applications are subject to credit approval, satisfactory security and you must have a minimum 10% deposit or 10% equity in the property (LVR below 90%). Minimum loan amount $10,000, maximum loan amount $10,000,000, and total borrowings per customer across all Unloan loans is $10,000,000. You cannot borrow more than $2,000,000 of above 80% LVR loans. In some cases depending on the property’s location or type, we may only be able to lend you up to 70%.
Unloan offers a 0.01% per annum loyalty discount on the Unloan Live-In rate or Unloan Invest rate upon settlement. On each anniversary of your loan’s settlement date (or the day prior to the anniversary of your loan’s settlement date if your loan settled on 29th February and it is a leap year) the margin discount will increase by a further 0.01% per annum up to a maximum discount of 0.30% per annum. Unloan may withdraw this discount at any time. The discount is applied for each loan you have with Unloan. The loyalty discount is applied to your variable rate at the relevant time, and this rate may increase or decrease over your loan term. For more information view our rates and features.
*At Unloan, we do not charge any annual, application, banking, account, transaction, late or exit fees. Government fees may also apply. Learn more about government fees here. Your current lender may charge an exit fee when refinancing.
Unloan is a division of Commonwealth Bank of Australia, and Commonwealth Bank does not provide tax (financial) advice under the Tax Agent Services Act 2009 (Cth). You should consider seeking independent tax advice from a registered tax agent, accountant or adviser before you make any decisions based on this information.
Applications are subject to credit approval, satisfactory security and you must have a minimum 10% deposit or 10% equity in the property (LVR below 90%). Minimum loan amount $10,000, maximum loan amount $10,000,000, and total borrowings per customer across all Unloan loans is $10,000,000. You cannot borrow more than $2,000,000 of above 80% LVR loans. In some cases depending on the property’s location or type, we may only be able to lend you up to 70%.
Unloan offers a 0.01% per annum loyalty discount on the Unloan Live-In rate or Unloan Invest rate upon settlement. On each anniversary of your loan’s settlement date (or the day prior to the anniversary of your loan’s settlement date if your loan settled on 29th February and it is a leap year) the margin discount will increase by a further 0.01% per annum up to a maximum discount of 0.30% per annum. Unloan may withdraw this discount at any time. The discount is applied for each loan you have with Unloan. The loyalty discount is applied to your variable rate at the relevant time, and this rate may increase or decrease over your loan term. For more information view our rates and features.
*At Unloan, we do not charge any annual, application, banking, account, transaction, late or exit fees. Government fees may also apply. Learn more about government fees here. Your current lender may charge an exit fee when refinancing.
Applications are subject to credit approval, satisfactory security and minimum deposit requirements. Full terms and conditions are found on our Unloan Terms and Conditions. Modified Terms and Conditions will be set out in our Notice of Variation Agreement, if you are approved. This article is intended to provide general information only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as financial product advice.
Unloan offers a 0.01% per annum loyalty discount on the Unloan Live-In rate or Unloan Invest rate upon settlement. On each anniversary of your loan’s settlement date (or the day prior to the anniversary of your loan’s settlement date if your loan settled on 29th February and it is a leap year) the margin discount will increase by a further 0.01% per annum up to a maximum discount of 0.30% per annum. Unloan may withdraw this discount at any time. The discount is applied for each loan you have with Unloan. The loyalty discount is applied to your variable rate at the relevant time, and this rate may increase or decrease over your loan term. For more information view our rates and features.
*At Unloan, we do not charge any annual, application, banking, account, transaction, late or exit fees. Government fees may also apply. Learn more about government fees here. Your current lender may charge an exit fee when refinancing.
