First home buyer? Don’t discount the new…
If you are a first time buyer, you may be interested to know that you can get government help to buy your first home.
If you’re currently on the hunt for your first home, you may be scouring the internet, making appearances at open homes and writing your wish list. The process can seem daunting, there’s no doubt about that; mortgages, interest rates, legal jargon, sales methods... It can all seem like another language at first.
While there is no set “start point” for everyone, doing your homework, speaking to your preferred bank or mortgage advisor can be a great place to begin. Not only will they explain the basics of a mortgage and the purchase process, but they will assess you to see what you can afford and will advise you if your eligible for government grants to help you out with that first home purchase.
You may be aware that you are able to use your KiwiSaver for your first home purchase. What you might not know is that the government agency Kainga Ora can help you further (if you meet their requirements).
For example, if you’ve been contributing to your KiwiSaver for at least three years, you may be eligible for a First Home Grant of up to $10,000 to top up your deposit. That’s free money that you don’t have to pay back
What you might not know is that the government agency Kainga Ora can help you further
But wait, there’s more... price caps on this grant, as well as earning caps, depend on the property that you are looking to purchase, i.e. whether you are looking at buying an existing property or a new property.
To receive a government grant to help towards your purchase in the Taupo District, the maximum price of an existing property is $575,000 and for new builds it is $825,000.
While new build properties are often more expensive, the financial aid is far greater in comparison to existing or older properties; a clear marker that the government is incentivising healthier, more economical and environmentally friendly homes. So, if you’re a first home buyer, don’t discount those new-build homes.
For professional advice about purchasing properties and the current market, our salespeople are on-hand to help. For further advice about purchasing, including your mortgage and assessment, we absolutely recommend speaking with your bank or broker to see what you are eligible for.
Top 5 tips when looking for your first home
MATT DAVIS-GOFF
Licensed Salesperson Bayleys Taupo
022 173 6402
• Take your time & do your homework - buying your first home is a big deal. Establish your budget and timeframes, and go to loads of open homes.
• Get the right financial advice - talk with your bank or broker about what you are trying to achieve.
• Sign up to our Pre Release Email - every week we send around a bunch of new properties which will be released to the public in the coming week. This is your chance to get a step ahead of other buyers.
• Don’t be afraid of talking to an agent - we live and breathe property every day won’t push you into anything. We will do the leg-work searching for properties that will align with your goals.
• Don’t be put off by RV’s - they aren’t based on anyone physically assessing the property, and don’t take into account the current market conditions. You are better off talking to your agent about what the current market values are.