Things to Consider When Buying a House

When you’re making plans to buy a property, there’s so much to think about — and many important costs you may not have anticipated.

A new home is a huge investment, so it’s crucial to get the planning right. The process of buying your first home is an exciting time that often involves plenty of work, such as careful research and being well-informed to avoid any costly mistakes. 

To help ensure your new home will be a good investment, it's best to research the local property market. Understanding the current trends in the market, the value of the home, including property valuation, and the area's potential for future growth will help you make an informed and confident decision.

Here’s a checklist highlighting the key things potential buyers should consider when purchasing a new property.

The mortgage is the biggest expense for home buyers, but it’s not the only one.

You must also factor in all the other costs such as:

• Conveyancing fees
• Land transfer duty
• Building and pest inspections

Before your settlement period, it’s also important to conduct a final inspection to ensure the property is in the right condition and to identify last-minute issues with the house to avoid any unexpected upfront costs.

When you’re in the process of moving, it's best to budget for exit and bond cleans as well as moving costs to relocate your belongings. Once you’re settled, you’ll also need to organise utility connections. 

Depending on what type of property you buy, costs can vary as apartments often require body corporate fees for maintenance so it’s important to ask about the balance of the body corporate’s ‘sinking fund’. Whereas if you're purchasing a house to renovate, you’ll need to pay for tools, paint or maybe tradespeople to upgrade the home.

These are just some of the known expenses. You should also put a bit of money aside for ongoing costs and the unexpected, like local council rates, rising interest rates or personal circumstances.

The median Australian house price as of September quarter 2025 is $1,045,000[1] and with many lenders requiring a 20% deposit, this is the first big hurdle when it comes to buying a house. Although, if you’re eligible for the Australian Government 5% Deposit Scheme this could make budgeting for your new home a little easier. And if you’re a first time buyer, you may be eligible for the First Home Owner Grant that can save you thousands of dollars during your purchase. 

When saving, make sure you're aware of your maximum purchase price as this amount directly affects the deposit you'll need and is essential to factor into your budgeting plan. The more you can save the better, as lenders like to see evidence of genuine savings on your part before they give you a loan for your new home.

When buying property, it’s common to be selective about things like proximity to schools and public transport, the local crime rate and the renovations a house might need, and you need to be just as picky when hunting for your first home loan lender.

As you’ll probably check out lots of houses before you buy, why not do the same with mortgage lenders to make sure you’re getting the best deal? Choosing the right home loan lender will directly affect your monthly repayments which can vary considerably in their flexibility, interest rates and fees. These all contribute to the lifetime cost of a loan and how soon you’ll be able to pay it off. 

To ease your stress, you can engage with a mortgage broker to help you compare and choose the right lender to help understand how home loans work. Getting your home loan right can potentially save you tens of thousands of dollars in the long-term.

Through a mortgage broker you can also get a home loan pre-approval to confirm your borrowing capacity and boost your confidence while making offers.

One of the most important things to think about when buying a new home is whether it suits your lifestyle and long-term plans. If you’re thinking of extending or renovating the home to suit your lifestyle, we recommend checking for building approvals and local council approvals to understand the rules and regulations before committing to a property.

Think about your family’s daily routines and travel time during peak hours. Things to ask yourself during the search is:

• What is the surrounding area like?
• How close is public transport?
• Are the shops, your work and schools close by?

For any home, it’s important to thoroughly research and inspect the property to help you decide whether it will suit your needs and to avoid any surprises, especially when it comes to a big cost such as buying a home.

Before you commit to a property, it’s essential to have a comprehensive inspection to ensure the home is in good condition.

Working closely with a solicitor can help you review the contract of sale, navigate the due diligence paperwork to ensure you’re protected and assist you during the settlement process. This is crucial to be aware of as costs for the settlement period involve transfer duty and conveyancing fees that you’ll be responsible for.

Building and pest inspections are also a critical part of buying a house as a report can reveal problems that may affect your decision to purchase the home. A building inspection assesses the structure of the house including the foundation, walls, and roof while a pest inspection checks for any pest infestations and termites.

Selecting a reputable building and pest control company is important as this can save you from potentially costly structural defects and hidden problems. After a report is compiled, take your time reviewing the findings and ask any questions about the issues that are identified. This can help you understand the results and perhaps negotiate repairs or withdraw your offer if the results are a deal breaker.

Prioritising a building and pest inspection can protect you from any expensive issues and help you make a well-informed decision about the property.

For every new home buyer, home and contents insurance is a key consideration to help protect their property and belongings. After going through all the effort and expense of acquiring your own home, you’ll want to make sure it’s covered. 

By insuring your home, you’ll be protecting your house, contents and financial future. Insurance can cover unexpected calamities such as bushfires, burst pipes, storm damage, break-ins and your possessions such as furniture, appliances and jewellery inside the premises.