5 Reasons 2020 may be time to buy your first home.
Money’s Cheap 💰
It's no joke, The most commonly purchased product in the world is cheaper than ever.
I’m talking about Money (The banks money). Right now the interest rate in Australia is 0.75%
“But WTF does that even mean man..”
It means you can pretty much tick up a house right now for cheaper than ever before.
Ok Here’ some perspective : When your parents purchased their first homes sure; they enjoyed some fantastic average home prices BUT interest rates fluctuated between 5%-7% for the best part of the 90’s, Your grandparents probably copped it even worse with rates averaging around 17% in the 60s..
Today house prices are higher HOWEVER The banks are basically giving away the cash you need to buy in, Take it !
2. What goes down must also go up 🚀
It's no secret, The markets recently been dropping like a stone. 2019 was not a good year, From Peak to trough homes on average across Sydney went down easily 9%.
Imagine buying a home for $700,000 and then in the space of 6 months watching it’s estimated market value drop down to $637,000… Yeah it sucked !
But now on the flip side, Imagine buying your first home now for $700,000 and watching it go 9% higher to $763,000, Not behhhd, eh?
A full retracement of price is already happening FAST and some brave economic clairvoyants are predicting that this is only the start and that we should see new market peaks by the end of 2020.
The thing is the market will forever go up and down, This volatility is where fortunes are made & fortunes are lost. Those who do well understand the opportunity market cycles provide and capitalize on them accordingly.
3. It ain’t gonna get easier 📈
Wages in Australia haven’t grown in years, We've basically flat lined and it’s very rare for anyone to get a raise, All the while the cost of living continues on a steady trajectory upwards and house prices are just as volatile as ever.
The smart money strategy may just be to bite the bullet and get in sooner rather than later because it looks like incomes are staying where they are for now so some people’s best chance of ever striking it rich may be through time invested the property market.
A recent report by ABC special report “Betting the House” suggested that Australia’s property market is so volatile and lucrative that the country may be divided into to different classes; Those who own property & those who do not - I know what side of that equation I wanna be on, Do you ?
THE GAME IS EASY : BUY WHEN ITS LOW & SELL WHEN ITS HIGH.
4. You get a grant, You get grant, You all get a grant 🤑
One of the greatest initiatives the government ever devised, The great Australian First Home owners grant has TRIPLED in recent years - from 1 grant to 3 !
You’ve got better luck getting the feature on More Chilli at your local HOWEVER if you do want to bag the elusive trifecta of all 3 Major FHB grants this is what you gotta do:
To get $10,000 FREE : Buy a “new” or “substantially" renovated” home for less than $600,000 (DIFFICULTY : HARD) or you can also opt to build a new home where the land for building and the cost of the dwelling construction has a combined value of less than $750,000 (DIFFICULTY : MEDIUM)
To pay 0$ Stamp Duty : Buy a new or existing property for less than $650,000. (DIFFICULTY : HARD), Or claim a scaled stamp duty reduction by keeping your 1st home purchase below $800,000 (The closer to 800k the less your discount)
To Qualify to purchase a property with only a 5% deposit and have your Lenders mortgage insurance fee waived : Be one of the first 10,000 first home purchasers who settle (purchase) a home in the new financial year starting June 30th 2020. *LMI is a compulsory insurance policy the banks make you pay for whenever you take out a loan of more than the traditional 90%, Basically if you wanted to buy a $700,000 house with only 5% deposit you would normally need $35,000 + stamp duty + LMI fee which can be like 20k anyway, This latest incentive allows you to avoid that LMI very handy !
As you can see as a first home buyer you are uniquely empowered now, Armed with a trio of perks to help you get in to the market and seize the Aussie dream.
5. You got me 😘
The best same reason to get out right now and make 2020 the year you start playing in the majors is because’ I got you !
90% of my clients in my career so far have been first home buyers, You could say I’m a bit of a specialist when it comes to hand holding young aspiring real estate moguls through the market and in to their first homes. I know how confusing and scary it all is, And I understand exactly the answers you require to the questions you may be embarrassed to ask before you even ask them-
On top of that, I’ve got the stock !
With my roots and my focus firmly in new developing growth areas where you can find entry level prices I have access to more first home buyer friendly stock than most other agents, But don’t believe everything you read on the Interwebs -
Come hit me up any day and I'll show you what I’ve got in person😉
