When is the right time to buy a house?

If you’re in the market for a first house, your next house, or an investment property, you’re probably wondering: Is now a good time to buy?

No one can say for sure what property prices will do over the next month, year or decade. It’s only in hindsight that we can pick the opportunities that represented a really good time to buy.

The good news is, though, that if you’re wondering whether to make your next property move, you can ignore most of the expert commentary about where the market might be headed or your nosy neighbour who wants to weigh in. Here’s what you can think about instead.

Can you afford it?

If you’ve got enough deposit (or equity) to make the deal happen, that’s a great first step.

Beyond that, think about how comfortable you are with the planned repayments. Is your income secure or are you likely to face any lifestyle changes that might make it hard to keep up with that level of payment?

Do you have any emergency savings that could tide you over if you had an unexpected maintenance bill or a drop in your income? Could you cope if interest rates were to start to creep up in a few years’ time?

A purchase that fits comfortably within your budget should afford you some wiggle room to ride out any bumps in the market.

Is there a solid supply of the sort of property you want to buy?

It can be tough to be a buyer in a market where there’s hot competition for every place that is listed for sale.

A sign that the stars might be aligning for you is if there are a number of suitable properties available for you to choose from – or you spot a great place at a nice price.

Have you got a great lender on your side?

Having a conversation early on with your lender can give you a good steer on the sort of budget you’re likely to be working with and the conditions that you might have to satisfy. This will give you an idea of how easy a purchase could be. As mortgage advisers, we can give you a headstart and help you liaise with your lender.

Do you have all the information you need to make the decision?

It’s easy to get caught up in the emotion of a house purchase. But when you’re investing significant sums of money, it’s important to get all the facts straight. Do you have all the reports you need on the property, and a good idea of whether the asking price is reasonable?

Having all the background detail enables you to make an informed decision about the property you’re buying.

Are you doing it for the right reasons?

Fear of missing out, or FOMO, is a big driver for lots of decisions, but it may not be a good reason to buy a house. Consider what you’re planning to buy and why. Make sure the numbers stack up if it’s an investment property, or that it’s the right move for your life if it’s a place you plan to live.

Like to talk?

We are here to help. If you’re thinking about buying your first property, we strive to make the process as seamless as possible.

Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current development or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.