If you were to ask anyone who has recently bought a house what they found to be the most helpful, they are likely to say the guidance that someone gave them.
Throughout the house purchasing process, you are going to need qualified advice, support and someone to translate the legal jargon which is why it is important to make sure that you have the right people on your team.
Before you sign the dotted line, you will need to do due diligence in working out what the best way forward is so let’s begin at the beginning of your home purchasing journey.
Mortgage Broker – Often when you approach a financier to lend you money, they have one goal in mind – to get you to sign with them. They don’t tell you about a better deal elsewhere, nor do they negotiate very hard if they know you don’t have another option.
This is where a mortgage broker is helpful – Their sole objective is to get you into a home. They will advise you of your options, speak on your behalf and because they have inside knowledge, they are able to show you a range of suitable options across a range of lenders.
You can then choose from these options or leave it until you are in a more comfortable position to handle the repayment terms.
A mortgage broker will guide you through the application process from start to finish so having this person on your team will make the journey smoother and more enjoyable.
Lender – When choosing who you are going to borrow money from, you need to not only feel comfortable with the repayment terms but trust that if things don’t go to plan, you have the support required to navigate your way through.
Insurance Broker – When purchasing a home, the bank will require you to have at a minimum, House insurance. This will cover the cost of your total home purchase price so that in the event of severe damage, your mortgage will be covered.
There is a plethora of insurance companies available to choose from however your specific requirements may mean that not just any insurance company will fit the bill.
Having a knowledgeable insurance broker who can compare policies and find you the best premiums, will not only save you money now, but could also prevent heartache in the event of your claim not being accepted due to a flaw in the policy.
Lawyers – Purchasing a home is one of the biggest financial decisions you will make in your lifetime, so it is incredibly important that you understand the legalities surrounding such a huge investment.
Your lawyer needs to be experienced in property law, able to explain your obligations, identify issues that may arise in the future and offer legal advice before you sign any contracts that commit you to owning that home or debt.
Property Inspectors – If you have found a home that you love and would like to purchase, it can be very easy to get swept up in the excitement.
Enlist a property inspector to look deeper than the cosmetic surfaces of the home. Do your research. Does this person have experience in building? What training have they received? Do they have indemnity insurance to protect you if they miss something that is discovered after you purchase the home?
This person is going to tell you how safe your possible home is, or any repairs that will need to be dealt with, so it is important that you hire someone who has the right qualifications and certification.
In some cases, not all aspects of the house may be investigated to make sure you read the inspection report carefully to ensure that nothing has been missed.
Local Council – knowing who to contact at your local council from the very beginning of your home ownership journey can save you hassle further down the track.
Check with the council to see what may be planned; will there be a change to zoning, thoroughfares, will your view be interfered with?
If you plan to renovate, are the any permits you may need to obtain and at what cost? Is there an issue with boundary lines or paper roads? Is there a height restriction that you need to abide by?
If you prepare for the long-term, you are less likely to come across roadblocks or a disturbance to your quality of living.
Tradesmen – Older homes often have outdated wiring, plumbing or building materials so ask a qualified tradesman to look over the property. Similar to a property inspector, do your research and ensure that their findings are given in full.
Real Estate Agents – These are the people who are in the know when it comes to housing availability, pricing and most importantly, the vendors thoughts.
Not only will they be able to advise you on the properties that meet your criteria, but they will also be your voice when negotiating a purchase price with the vendor.
When consulting with a real estate agent, let them know exactly what you are looking for in a home, your price limit and any conditions to your finance arrangements such as pre-approved mortgage loans. This will give them a better indication of where you are currently at and if they know that you are a serious buyer, they will work harder for you.
This is not to say that you cannot look elsewhere at other listings, so don’t feel that you are limited in options.
Friends and Family – It can be a long and weary road when making applications, waiting for approval and then house hunting. The most important people who you can have on your team is friends and family.
The support that they can provide in times of feeling low or to help you celebrate cannot be found in the yellow pages.
Surround yourself with people who can help you look, offer advice or recommend professionals to help you through this process. You will also want to have them on hand for moving day!
When you have the right people on your team, the process will be easy and straightforward so make a start today by contacting Tim Oliver at First Mortgages NZ.
Tim is a financial advisor and a mortgage and insurance broker with years of experience in helping first home buyers achieve their dream. Contact Tim on 02102956499 to arrange a meeting to discuss your needs.
Tim Oliver is an Authorised Financial Adviser and director of First Mortgages NZ Ltd and Oliver Financial Planning Ltd. The information provided in this article is not intended to constitute advice to any person.
Getting the Right Team Together
