Buying Your First Home: Frequently Asked Questions
If you’re buying your first home, it’s normal to have lots of questions. Below are some of the most common ones first home buyers ask — with clear, practical answers to help you feel more confident about your next steps.
Where should I start when buying my first home?
Start with your finances, not property listings.
Understanding your income, expenses, savings, and borrowing power gives you a clear picture of what’s realistic. This makes the rest of the process far less stressful.
How much should I borrow for my first home?
The right amount to borrow is what feels comfortable for you — not just the maximum a lender may approve.
Your repayments should leave room for lifestyle costs, savings, and unexpected expenses so you’re not stretched from day one.
Do I really need a 20% deposit?
Not always.
While a 20% deposit can help, many first home buyers are able to purchase with less through low-deposit options or government schemes. The key is understanding what applies to your situation rather than assuming you need more time to save.
What costs should I budget for besides the deposit?
There are several additional costs to plan for when buying your first home, including:
- Legal and conveyancing fees
- Building and pest inspections
- Stamp duty (if applicable)
- Moving and setup costs
- Ongoing costs like rates and insurance
When should I get pre-approval?
Ideally, before you start making offers or attending auctions.
Pre-approval gives you confidence, strengthens your negotiating position, and helps you avoid emotional decisions outside your budget.
Is the lowest interest rate always the best option?
Not necessarily.
Loan features, fees, flexibility, and how the loan fits your lifestyle can be just as important as the rate itself. The best loan is one that works for you long-term.
What mistakes should first home buyers avoid?
Common mistakes include:
- Waiting too long to seek advice
- Not budgeting for all upfront costs
- Making big financial changes during the buying process
- Falling in love with a property before knowing your budget
Do I need professional help to buy my first home?
You don’t have to do it alone — and most buyers benefit from guidance.
Having the right support can help you avoid mistakes, understand your options, and move through the process with confidence.
What’s the best next step if I’m thinking about buying?
The best next step is a simple conversation.
Understanding where you stand financially and what your options are can give you clarity and direction — even if you’re not ready to buy immediately.
