Aveling Homes Offers Financing Advice For First Time Home Buyers

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The Australian property market is poised to have a positive outlook. Housing opportunities abound for first time home buyers.

Interest rates are currently at record lows and affordability in certain areas are at its highest in years. Right now could very well be the perfect opportunity for new homeowners!

After several rough years following the global recession, the Australian property market is steadily on the rise since prices began their decline in May of 2010.

And the latest data support this outlook.

The RP Data-Rismark Home Value Index recently reported that average capital city housing values rose 1.3 percent in March and 2.8 percent for the first quarter.

The city of Hobart saw the largest increase with 6.1 percent followed by Perth at 4.3 percent and Canberra at 3.4 percent. Future predictions about the market are nearly impossible to make but the numbers are certainly encouraging.

And this is good news for first home time home buyers.

Interest rates are currently at record lows and affordability in certain areas are at its highest in years. Right now could very well be the perfect opportunity for new homeowners.

But the whole ordeal of buying a home is anything but simple. And obtaining financing is always filled with anxiety as lenders are increasingly cautious about qualifying borrowers. With the following financing advice, the process becomes much easier.

Obtain a credit report
Lenders use credit scores to determine creditworthiness. Potential borrowers with a history of late payments and overdrafts will likely get their application rejected. Borrowers with excellent credit histories not only increase their chances of approval but even get better terms as a result.

Reviewing this credit report is paramount. Bank errors can negatively impact loan terms and need to be immediately addressed. Any current debt obligations should be paid down as much as possible before applying.

Locate a lender
Always compare rates from different lenders and look at all options in detail before signing any documents. Numerous financing products are available depending on current financial circumstances. This step requires a lot of diligence and patience but is crucial to getting the process started.

Consider tapping into social networks for references or to inquire about personal experiences with certain lenders.

Calculate a down payment
Putting down at least 10 percent of the total purchase price is a good start. Putting down more is ideal as it generally leads to more favorable loan terms. Anything less will likely lead to the application being denied. Lending institutions need to do everything they can to protect their investments.

Weigh all financing options
From shared equity loans to Keystart financing, there are numerous financing options available. Choosing the right one requires careful analysis as everyone has different financial circumstances. The details can be overwhelming at first glance but this step should never be taken lightly.

Get pre-approval
The final step is getting pre-approval from a lender. This gives significant negotiation leverage as showing sellers this letter communicates seriousness.

The process of buying a home is often fraught with anxiety but taking care of the financing options ahead of time will relieve a great deal of stress.

About Aveling Homes
As award winning luxury home builders in Perth WA, Aveling Homes is dedicated to providing exceptional customer services. Get in touch with one of our representatives for more information about our display homes and financing options for first time home buyers.

Learn more about our services by visiting the Aveling Homes website at http://avelinghomes.com.au.

Aveling Homes Contact information
24/7 Metro Sales: (08) 6144 1000
24/7 Sth West Sales: 6144 1001
Metro: sales(at)avelinghomes(dot)com(dot)au
South West: southwest(at)avelinghomes(dot)com(dot)au

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Sean Quartermaine
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