Once you have established your wish list and find a few properties that fit the bill, it is advisable to visit them several times at different times of day. This is not just to establish the condition and mood of the house under different lighting, but to determine a whole range of issues such as:

• Do the neighbours from hell live next door and why?
• Are there barking dogs or crowing roosters next door or over the road?
• Do a family of teenagers live next door?

In this respect, it can be helpful to ask why the sellers are moving, but keep in mind you may not always get an honest answer.

Finances are usually fairly tight when buying a first home, so try and determine how much a property is likely to cost you down the track. Will it require a further investment in furniture, carpets or fittings? Will it require renovating? If so, does it fit your budget and timeframe for renovations? Most importantly, you need to ascertain if the building has any structural problems.

Once you have decided whether the house meets your specifications and there are no nasty surprises, the next step is to consider its on-sale value, particularly if this purchase is only a stepping stone to another property. Consider the following:

• Has a property boom hit the area you in which you are buying? If so there may not be a lot of money to be made for seven years, maybe longer.
• Check zoning, easements, caveats and covenants on the property.
• Try to buy the worst house in the best street.
• Compare home prices in your area to make sure you are paying no more than market value.
• Negotiate on the price. If it is a buyers’ market, you will be in a position to drive a hard bargain.
• Good kitchens and bathrooms usually add value to the house and will reduce your renovation burden.

Last but not least, when budgeting, don’t forget to take into account costs such as stamp duty and conveyancing. Stamp duty varies from state to state and is scaled according to the cost of the property. Some states offer exemptions or discounts to first-home buyers, so check the government websites for guide

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January 2007
By Sarah Mills

Hollywood comedy Duplex, starring Ben Stiller and Drew Barrymore, is a modern-day fable about the potential horrors awaiting the unsuspecting first-home buyer.

Like many such movies over the years, it offers salutary lessons to property-market newcomers — lessons like: if it looks too good to be true, it probably is; don’t over extend; budget carefully, particularly if renovating; do your research; and beware the big bad wolves of the property market.

It is true that buying a first home can be fraught, confusing and stressful but there are many things you can do to improve your odds of making a successful choice.

Drawing up a wish list of desired features before you start searching for property, then sticking to it, is one. A wish list serves as a compass for the new-home buyer and it can help you resist the enticements, sales pressure and even well-meaning family advice that you are bound to encounter.

At the very least, it will ensure that you emerge from the process having achieved your basic requirements.

When creating your list, you might want to ask yourself the following questions and invent a few of your own:

• Do you want a townhouse, apartment or a house?
• Do you wish to live in the inner city, suburbs or country?
• How many rooms will you need?
• How many bedrooms do you want?
• Will the property accommodate your changing needs over time?
• Do you want a garden, if so how big?
• Do you prefer an old or modern residence?
• Are you happy to renovate or extend?
• How close do you wish to be to facilities such as schools, shops, childcare, parks, beaches and hospitals?
• How much you are willing to pay?

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February 2007
By Sarah Mills

Real estate agents typically work for the vendor, so home buyers should be cautious when dealing with them. It is still worth putting questions to the agent, but just remember not to take everything they say as gospel.

Also remember that while agents work for the vendor, you are the one with the money. You have considerable power and should use it to your advantage. Here are some questions and negotiating tips to help you get the most out of real estate agents and hopefully the best price.

Questions

• Why is the vendor selling? Depending on the vendor’s circumstances, such as deceased estates, liquidation and divorce, you may be able to negotiate a better price. Don’t rely on the estate agent’s word. Ask a neighbour.
• How long has the property been on the market? If it has been on the market for a long time, it may indicate a problem with the house. If not, it may mean the vendor will be keener to negotiate on the price.
• Is the vendor negotiable on the price? See if there is flexibility.
• How soon does the owner need to move out? If the owner is in a hurry, he or she will probably be more open to bargaining. If you have cash, it also means you may be favoured over another buyer.
• Who set the price on this property? The owner may have set the price themselves, which may be unrealistic and outside market value. The agent may disagree with the asking price and be prepared to help with negotiations.
• How much do you think the property will sell for? This may give you an idea of the disparity between the asking price and the genuine market price.
• What else do you have at this price? And what else is in the market right now? This lets the agent know you are not committed to the property.
• What comes with the property? Try and pin down as many things as possible: carpets, curtains, light fittings, kitchen and bathroom fittings, beautiful features like stained glass windows that the vendors might want to take with them. Unusual plants, ride-on-mowers, sheds, custom-fit dishwashers, ovens, microwaves, fridges, etc.
• If you are using a buyers’ agent, make sure that the property is not being sold by the same agent or agency. This is called dual-listing and represents a conflict of interest.
• Ask them straight out if there are any problems with the property. By doing this, you can avoid the expense of pulling out after building inspections, etc. Make it clear that if you proceed and problems emerge, you will quit the deal and go to another agent.
• Will the home be in the same condition when I take ownership? Be sure to schedule a walk-through inspection prior to closing.

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From Money Magazine, March 2005

If you’re planning on a mortgage broker to find your perfect home loan, find out some information before you start. The Mortgage Industry Association of Australia (MIAA) gives these tips:

• Is the broker an MIAA Accredited Mortgage Consultant? This shows the broker has industry training, should abide by the association’s code of practice and is covered by the Mortgage Industry Ombudsman Scheme. Go to “Search for an MIAA Member” on the MIAA website.
• Which lenders do the brokers have on their books? Some brokers may be able to offer loan products from more than 15 different institutions, while others may only consider products from a couple. Make sure the broker deals with a spread of lender types (banks, mortgage managers and others).
• How does the broker get paid? Make sure that the broker does not let the size of their commission from the lender cloud their judgement.
• What fees does the broker charge? Ask the broker to clearly specify all their fees and charges. Some charge none while others may charge a one-off fee. Check what extra services you get for the fee you may pay.
• How do they compare loans and decide which is best for you? Make sure the broker clearly explains their methodology and criteria.
• Find out the loan comparison (or true) rate of the loans recommended to you.
• Ask if the broker is also a lender — you don’t want a mortgage broker recommending loans if they offer their own (unless you’re sure they don’t favour their own).
• Ask for proof of professional qualifications, information on the broker’s experience or references from other clients.
• Does the broker have professional indemnity insurance? This covers them if they’re sued for professional negligence or breach of duty.
• Ask to see what privacy guidelines the broker follows when handling your information.

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by Jeremy Norburn 

So you are thinking about taking time out before you start your career?

If you are planning to take a break before starting your career then this article will help outline your options and emphasise the importance of planning.

So why take time out?
It is important to be clear why you are taking time out to travel. Many people see it as an opportunity to gain experiences before embarking on a specific career or post graduate course, but remember to be clear about why you wish to go.

What will I do?
There are hundreds of possible things to do on a gap year. You may wish to visit a distant country and work in temporary jobs along the way to finance your trip, or gain paid or voluntary work experience in the UK. Alternatively you may wish to develop your existing skills within a foreign language sector. What ever you wish to do there is something for every body.

Consider planning.
For you to make your year out a success you must remember that it is not a means to escape the rat-race, or put off permanent employment, but an opportunity to witness things that you wouldn’t usually get a chance to.
Consideration must be given to such matters as;
* Availability of work (which can be difficult to get overseas
* Working conditions
* Visa and vaccination requirements
* Medical insurance
* Foreign currency restrictions
* Local laws etc.

What are the advantages?
* Broaden your horizons
* Experience different cultures
* Develop qualities such as:
o Self awareness
o Maturity
o Flexibility
o Independence
o The ability to cope with new situations and challenges

What are the disadvantages?
* It can be difficult to re-adjust to normal routine
* Your friends may get ahead on the career path
* You may have difficulty financing yourself
* When you return you will also be in competition for jobs from new graduates
* You may lose ground if you wish to pursue a fast moving, technical career
* Some employers may not be impressed

What do the employers think of taking take out?
* The majority of employers generally feel quiet positive about it, providing that you can demonstrate that your time has been spend constructively and you have gained the kind of skills and qualities that they are looking for.
* Some employers do also have negative opinions on the subject.
If you have any doubts concerning taking time out speak to a careers adviser or check with the employers themselves.

Remember to plan for your return.
Think about what you will do when you return. Use the Careers Service before you go to help you identify which career area you will want to pursue and what action you will need to take when you return.

What to do when you return.
You will have learnt a great deal if you have travelled and / or worked during your year out. Use your experiences to promote yourself to prospective employers by emphasising the skills that you have developed.

For more articles by this author and information with tips and advice places to visit, please visit www.senduspacking.com

About the Author

Jeremy Norburn spent a large part of his early years travelling the four corners of the globe with his family. He continues to travel and has started exclusively writing for www.senduspacking.com an online company offering travellers the ability to off set the cost of their holiday by way of receiving contributions by friends and family.

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