While the excitement of being a first-time home buyer is great, it could also make you forget the other important things: the hidden costs.
Buying your first home is one of life’s biggest milestones and one of its most nerve-wracking as well. From navigating home loans to spotting hidden costs, many first-time home buyers find themselves overwhelmed with questions.
“Buying your first home is exciting, but it can also be intimidating if you do not know what to expect,” Adrian Goslett, regional director and CEO of Remax Southern Africa, says. “By understanding the questions most buyers have, you will feel more confident, informed and prepared for the whole process.”
Remax identified these most common questions new home buyers ask and what every buyer should know before signing on the dotted line:
How much can I really afford to pay for a house as a first-time home buyer and what does “affordable” mean long-term?
Affordability is not just about the bond repayment, Goslett warns. You should factor in interest rate changes, monthly maintenance, levies, insurance and unexpected expenses, such as a geyser bursting.
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How big must my deposit be and is bigger always better?
Depending on your credit score and other factors, a deposit is not always a requirement, Goslett points out. “However, putting down a deposit upfront will reduce your long-term interest and give you stronger negotiating power.
What extra costs will I face besides the purchase price of the house as a first-time home buyer?
Transfer duty, attorney fees, bond registration and inspections by a private contractor (if you choose to have one) are the most obvious costs, but do not forget the possible costs like moving trucks, new furniture, renovations or security upgrades, he says.
Should I get pre-approved for a home loan before I shop?
Absolutely, Goslett says. Pre-approval not only confirms what you can afford but also positions you as a serious buyer, giving you an edge in negotiations.
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Is this the right time to buy a house for a first-time home buyer?
The property market will always shift and property prices increase annually, Goslett says.
“Therefore, delaying typically just means paying more for the same home at a later date. The more important question is whether you are financially ready now and have the stability to commit to a long-term investment.”
How do I know I am paying a fair price for this property?
Never rely solely on the asking price, he says. You could speak to your agent to find out what similar homes in the area have sold for.
What should I look out for during an inspection of the house I want to buy?
Go beyond the cosmetic details, Goslett says.
“Ask about the age of the roof, plumbing and wiring and be alert for signs of damp or structural issues.”
How long will the buying process take and what can delay it?
Goslett says transfers take on average between 2 and 3 months, but delays happen if paperwork is not in order or if bond approvals are slow. Staying organised can speed things up.
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Is this a good investment for my future as a first-time home buyer?
Look beyond the home itself, Goslett says.
“Research the neighbourhood’s long-term potential, planned developments and property value growth in the area.”
For many new buyers, the journey begins with excitement but quickly becomes clouded by uncertainty. Questions about affordability, legal requirements and unexpected costs can leave people second-guessing their decisions.
“Buying is about building security, stability and a future. With the right information at your fingertips, your first home can be a joyful experience, not a stressful one,” Goslett says.
