Recently, we hosted an event at Brickworks Park for first home buyers looking to enter the property market. Covering all things finance and investing, here are our top five lessons learnt from the event.
It was a great turn out at the First Home Buyers Event, with keen buyers including Alderley locals looking to earn a passive income, renters ready to call a home their own, and those from further afield eager to kickstart their property portfolios.
As the sun set over the iconic Brickworks Chimney, over 30 attendees warmed up with food and beverages before settling in. The information session was held by Position Property Sales Associate, Dan Lewis, Astute Position’s Lending Manager, Ebeyer Gu, as well as two happy buyers, Nathalia and Alex, who recently purchased their first properties.
Let’s unpack the key takeaways!
1. Brisbane is expanding
There’s no denying Brisbane is becoming a property hotspot. Not only was it recently named the sports capital of Australia, but with the Olympics coming to the city in 2032, the state’s population growth is currently exceeding predictions.
Position Property Sales Associate, Dan Lewis, said Brisbane’s property market is growing and looks to continue well after the Olympics.
“Queensland grew to 104,410 in 2021-2022, it also grew 2% in the same period,” Dan said.
“We can expect a further 16 per cent by the Olympics, then Brisbane could make up more than half the state’s population this decade.”
“There’s a lot of infrastructure coming to Brisbane for the Olympics, like the Cross River Rail project, Woolloongabba Master Plan, Queen’s Wharf Precinct, Eagle St and the RNA Showgrounds Master Plan.”
Brisbane is certainly growing, and with this trend on the rise, we can probably all agree that investing in the River City is the right idea.
2. Buying a home can be daunting, but it’s a worthwhile, solid investment With rents skyrocketing, it makes sense to buy now and pay off your own mortgage, rather than someone else’s. Dan says when breaking these down, buying isn’t that much more than it costs currently to rent.
“Roughly speaking, a one-bedroom apartment around here [in Alderley] is around $500 a week.
If you buy a one bedroom, one bathroom, one car apartment here at Brickworks Park, it’s only $617 a week if you buy.”
“Homeowners benefit with equity, growth, flexibility. It’s yours but it’s really growing equity with the property. Then, if it [the property] is not for you, you can always sell,” Dan said.
Dan also suggests looking at the bigger picture, all homes are investments, but you don’t need to feel ‘stuck’ in it.
“Think strategically in the first instance and where you want to go and keep growing beyond there.”
The kitchen at the stunning display suite at Brickworks Park 3. Getting your finances in order Sure, we all know that we need to get our finances in tip-top shape when we’re buying a property... but how exactly do we do that? Astute Position Lending Manager, Ebeyer Gu, recommends looking at your debts and your saving history to implement better savings practices.
“Having a separate ‘home loan’ savings account is helpful, but banks will also look for a proven savings history if you aim to purchase with a low deposit.”
If you’re lending, also cut out any bad debts you have as banks will look often frown upon this, especially if you’re looking for a loan, Ebeyer says that incudes credit cards.
“Cut out consumer debt, credit cards, Afterpay, and note that credit card limits can also be considered debts.”
From there, it’s all about finding the right loan. Of course, many choose between a mortgage broker or a financial institution like a bank, but Dan says there are more options when it comes to a mortgage broker.
“There are benefits to using a mortgage broker, often there is more choice, service, advice and they have more time to assist you.”
Dan says you also need to have extra money up your sleeve for the move in day.
“I’ve heard stories of sleeping bags on floors, or camp chairs in front of the TV, you need to keep a bit of extra money to cover those move-in costs.”
4. Use your resources and consider Government initiatives
There are a few Government incentives you can turn to when buying your first property that are exclusive to first-home buyers in Queensland. It’s worth considering these before applying for a loan.
The Queensland First Homeowners Grant provides $15,000 towards a deposit for new properties valued up to $750,00. Also, first home buyers can avoid stamp duty if the property is below $500,000 and there are marginal concessions to a home valued under $550,000.
For Federal Government initiatives there is the First Home Guarantee which Dan said is a great scheme to consider as it you can help you avoid those added costs.
“Lenders Mortgage Insurance or LMI is a premium to protect the bank that’s then passed onto you,” he said.
First Home Guarantee, allows first home buyers to purchase a property with a minimum of 5 per cent deposit and no LMI (Lenders Mortgage Insurance), in Brisbane it covers properties up to $700,000.
If these still don’t work for you, Dan suggests looking into further incentives like the First Home Super Saver Scheme.
“It’s a voluntary contribution to Super for the purpose of saving your deposit, this way the Super fund accelerates your savings.”
5. Trusting yourself
Dan says at the end of the day, property will come down to your individual needs: where you work, where you socialise, your family and your lifestyle, and you can become an expert on the area just by keeping your eye on the market.
“Limit your search to three or four homes and keep it on a set area, some people might look at one property but have no idea how it compares based on others,” he said.
Buying a house is a big decision and a lot of your consideration will come down to location, aesthetics, your lifestyle and what your needs are.
“Sometimes your intuition is the right intuition, people second-guess what they love and reflect later and have the thought of oh why I didn’t buy it, trust yourself.”
If you’d like to view the Brickworks Park Display suite or book in to meet Dan or Ebeyer, contact our team via email or phone.
Dan Lewis – Sales Associate
dan@positionproperty.com.au
0422 921 478
Ebeyer Gu
ebeyer@positionfinancial.com.au
0476 810 079
Why wait? Secure your dream home at Brickworks Park and lock in today’s prices! Secure your spot with a deposit now and continue to save prior to construction completion.
To find out how you could call Brickworks Park home, call the friendly team at Position Property on 1800 861 868 or make an enquiry here.