Tips for buying solo

Buying a property alone can be more difficult than buying with someone else but with careful preparation it’s certainly doable. 

You’ll feel a great sense of pride if you do buy a place by yourself. It’s a great achievement, and one that many first home buyers accomplish every year.

Here are some suggestions to get you started:

• Work out your budget – Remember the costs of buying such as legal fees, stamp duty and removalist charges when you’re saving for your deposit. Don’t forget strata fees, council rates, utility bills, insurance, and repair costs when working out how much you can afford in mortgage repayments.

• Get pre-approval – Before you start seriously looking, get pre-approval on a home loan to confirm the amount you can borrow. This might also improve your bargaining position when you come to make an offer. 

• Plan for the unexpected – What would happen if you lost your job, fell ill and couldn’t work, or if property prices dropped? Consider income protection insurance as may pay a proportion of your wage if you can’t work due to illness or accident. Get home and contents insurance to cover against property damage or theft.

• Be realistic – Saving for a deposit may take longer solo and you may not be able to afford as big a mortgage as if you had someone else to help out. Be prepared to make some compromises to buy what you can afford. 

• Ask for second opinions – enlist friends and relatives to look at properties you’re considering and tell you what they think. They may see shortcomings or benefits you’ve overlooked. Choose people you trust to give fair and constructive opinions.

• Seek advice – mortgage brokers, solicitors, financial planners and building inspectors can provide useful input to your decisions. Also, talk to others who have bought property alone about their experiences. 

Quick tip: Have confidence. Plenty of people do buy property alone.

TO FIND OUT HOW RAMS CAN HELP EASE YOU THROUGH THE PROCESS, GET IN TOUCH WITH YOUR LOCAL RAMS HOME LOAN EXPERT OR DROP IN FOR YOUR FREE FIRST HOME BUYERS’ GUIDE.

For more great property advice and tips on buying your first home from RAMS subscribe to The Great Australian Dream property series.

For your free Property Observer eBook from RAMS, 12 tips for first-time buyers, covering everything you need to know when it comes to purchasing property, click here.

Disclaimer: Information in this material is general and does not take into account your objectives, financial situation or needs and you should consider whether it is appropriate for you. You should also obtain independent professional advice relevant to your financial circumstances.