FAQ

1. What is the first step to buying a property?
Getting pre-approval from a lender is usually the first step. It helps you understand your borrowing capacity and shows sellers you're a serious buyer.

2. How much deposit do I need to buy a home?
Most lenders require a 5%–20% deposit, though first home buyers may be eligible for government assistance schemes.

3. What is stamp duty, and do I have to pay it?
Stamp duty is a government tax paid when purchasing a property. The amount depends on the property's price and location. Concessions may apply for first home buyers.

4. What does ‘under contract’ mean?
It means the seller has accepted an offer, but the sale hasn’t been finalised yet. Conditions like finance or inspections may still need to be satisfied.

5. Should I get a building and pest inspection?
Yes, it's highly recommended. These inspections can uncover hidden issues that may cost you later.

How do I know what my home is worth?
A real estate agent can provide a market appraisal based on recent sales in your area. You may also consider getting a professional valuation.

1. Do I need to make repairs before selling?
Fixing minor issues (like paint, fixtures, and gardens) can improve your property's appeal and value. Major renovations are not always necessary.

2. What are the costs involved in selling a property?
Common costs include:

Agent commissions

Legal fees

Marketing/advertising

Settlement fees

Potential capital gains tax (for investment properties)

3. How long does it take to sell a property?
On average, properties take 4 to 8 weeks to sell, depending on the market, price, and presentation.

4. Should I stage my home for sale?
Staging can help buyers visualise themselves living there and often results in a faster sale at a better price.

What is rental yield, and how is it calculated?
Rental yield is the annual rental income expressed as a percentage of the property’s value.
Formula: (Annual rent ÷ Property value) x 100.

1. What is negative gearing?
Negative gearing is when your rental expenses exceed your income, creating a loss. This loss can often be claimed as a tax deduction (check with your accountant).

2. Can I buy property through a self-managed super fund (SMSF)?
Yes, but there are strict rules. You’ll need to speak with a licensed financial advisor or SMSF specialist.

3. What should I look for in a good investment property?
Look for:

High rental demand

Low vacancy rates

Capital growth potential

Proximity to transport, shops, and schools

4. What’s involved in managing an investment property?
You'll need to handle tenant selection, rent collection, maintenance, and legal compliance—or you can hire a property manager to do it for you.