12 signs you may be ready to be a homeowner
Thinking about home ownership? Here are 12 signs you might be ready to buy your first home in Australia, with real-life tips to help you decide if now’s the right time.
Buying a property is a big and exciting step in anyone’s life, but before you begin the search for your dream home, it’s important to be sure that you’re ready to take the leap.
To help you decide whether it’s time to swap your rental property for a home of your own, we’ve put together some signs that indicate you might be ready for the world of home ownership
1. You have a steady income
A stable and secure income is one of the most important signs of financial security, so it’s important to have a steady source of income when thinking of buying a property.
Having the certainty that your income is reliable and consistent can help ensure you comfortably manage your mortgage repayments over the long term.
2. Your savings account is healthy
Robust savings are essential, not just for the deposit on your property, but also for all the additional costs associated with buying a home.
These ‘hidden costs’ include things like legal fees, stamp duty, and moving expenses, as well as ongoing expenses such as maintenance fees.
3. You’re clued up on the property market
Having a solid understanding of the ins and outs of the property market – including the specific area you’re interested in – can help you make a reasonable offer.
Researching the market and improving your knowledge can lead to more informed decisions and choosing a property that fits both your lifestyle and your budget.
4. You’re ready to ‘DIY’
Unlike renting, where most repairs are the landlord's responsibility, home ownership means you’re in charge of upkeep and maintenance.
Being prepared for this responsibility, both financially and mentally, is important whether you choose to tackle these jobs yourself or would prefer to outsource them to a professional.
5. You’re clear on your long-term goals
The decision to buy a home should fit into your future plans and long-term life goals.
Whether you’re thinking of starting a family one day or want to have a permanent base, you should be clear on how a home will fit into your life goals.
6. You’re looking for stability
Having a desire to put down roots and create a stable living environment is a good indicator that you’re ready for home ownership.
The need for stability means you’re looking for more than just a financial investment – you’re seeking a place to call home.
7. You have an emergency fund
In addition to having savings for your house purchase and associated costs, it’s a good idea to have an emergency fund.
This can act as a buffer for life’s unexpected moments, and provide peace of mind that you can handle surprises without stressing about your mortgage payments.
8. Debt doesn’t scare you
A mortgage is a long-term debt commitment, and it’s vital to understand and accept this before deciding to become a homeowner.
Being comfortable with this, and confident in your ability to manage debt indicates you’re ready to take the next steps and get your foot on the property ladder.
9. You understand home loans
Having an understanding of loan types, interest rates, and repayment options can give you an advantage when you embark on your property journey.
Being informed and up-to-date means you’ll be in a better position to choose a mortgage that suits your financial situation and goals.
10. You value ownership over renting
Owning your own home offers an array of benefits, such as building equity and having the freedom to customise your living space.
Feeling appreciative for this type of lifestyle is a sign that you’re prioritising making a long-term investment in your lifestyle.
11. You’re prepared for the buying process
From house hunting to securing a mortgage and closing the deal, the journey to home ownership can be a tricky one to navigate.
It’s important to spend time researching the processes and steps involved before you get started on your property search, so you can be ready for the road ahead.
12. You have a solid support network
Having family and friends to provide support, and professionals such as mortgage brokers who can offer advice through the home-buying process is invaluable.
With this support network, your journey to becoming a homeowner will be less daunting and more manageable.
Find yourself agreeing with these signs? You might just be in a great position to consider buying your own home!
Remember, home ownership is about much more than just paying a mortgage - it’s about being prepared for both the responsibilities and happiness that come with having a place of your own.
Looking to learn more about the home-buying process? Check out our series of buy a home articles.
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.
