Article by Rawson Properties,Your Neighbourhood Expert
Buying your first home or stand is a big decision that may feel like it holds far more ‘new challenges’ than ‘new beginnings’. That’s why we’ve put together this six-step guide that will help first time buyers navigate through the entire process of acquiring their first property – right from the house-hunt to the house-warming!
STEP 1: FIND A GOOD AGENT
For many, the house or stand -hunting process generally starts with tons of questions, such as: “Where’s the best place to look for property?” “How do I know that the area I want to buy in is a good one?” “How do I know if the offer I want to make on my dream home or stand will actually ensure I get it?” This is not even to mention the complication and uncertainties around getting a bond approved, in some cases, the transfer processes and the handover take over processes.
Fortunately, you don’t have to deal with these difficult questions or processes on your own – that is, if you have a reliable, experienced estate agent who can help you to find your dream property.
So, what does a good estate agent look like? Make sure you ask the following questions of your agent:
a) Is s/he qualified?
Agents working in the real estate business in Zimbabwe are required to have a valid Compensation Fund Certificate, from the regulatory board, The Estate Agents Council of Zimbabwe, that needs to be renewed every year. Ensuring that you ask a qualified registered estate agent to represent you is especially important as s/he needs to help you navigate and understand the, very often, complicated terms and conditions involved in buying your property. Further to this it is always important that you deal with sales agents who have been trained in the field of sales and marketing of real estate, at least you are guaranteed of excellent customer service.
b) Is s/he on your side?
It’s important to know your sales agent has your best interest at heart and that they will find you exactly what you’re looking for and can afford. Personal recommendations are a great way of finding an agent you can trust – so, ask family, friends and neighbours If they had good experiences with the agent, chances are you will too.
c) Does s/he know the area?
There are probably many neighbourhoods in your search area, so where do you even begin looking? Your agent should be able to provide you with those important pieces of information – such as schools in a 10km radius, who is in charge of the community watch, where’s the nearest shopping centre, the level of crime rates, water and electricity situation, etc– that could just be the thing that will sell a neighbourhood to you.
STEP 2: FIND THE RIGHT NEIGHBOURHOOD
Before you start dreaming about the kind of property you want, start thinking about the kind of neighbourhood you want to live in, because where you live does have a huge impact on your wellbeing. Here are two things that will help you find the right neighbourhood:
a) Review your lifestyle
When buying your first property, it’s important to think a few years ahead… city-living might be your dream right now but, if you’re thinking about starting a family soon, the bustling nightlife around your apartment might not be well suited for a new born baby. If you’re a parent, you may want to ask yourself where you would like your kids to go to school? Or if you have dogs, you may want to consider neighbourhoods that have the best parks and outdoor areas? Other questions you need to look into include: How far are you willing to commute? Are you planning to drive, walk or take public transport? Do you want to be in a neighbourhood with charm and character, or do you prefer the newer, more modern areas?
b) Scout the area
Once you’ve narrowed down your list of preferred neighbourhoods, it’s time to explore it. Take particular note of your general impression of the area: What were some of the first things you noticed? Are the sidewalks and houses well maintained? Can you visualise yourself jogging or walking your dog in the area? Take a drive through the neighbourhood in the evening and see if it still has the same appeal. Talk to people in the area and find out what they think about it. This is often the quickest way to get an insider’s perspective on the area.
STEP 3: FIND A DREAM HOME THAT MATCHES YOUR DREAM NEIGHBOURHOOD
So, you’ve narrowed down your search to a select few neighbourhoods; now it’s time to find a property that you can afford in one of them. This step is where your estate agent comes in, as s/he will be able to provide you with a list of the available properties within your price bracket in your preferred area.
You may also want to browse online portals as many exciting, new properties are listed on various property websites. And while you’re there, make sure you subscribe to updates and set up alerts for listings in the area you’re interested in and soon you’ll be saying home-sweet-home in no time!
STEP 4: MAKE AN ATTRACTIVE OFFER
Always put forward an offer that will make you the most favoured candidate to the seller. How? Consider offering full or close to full asking price; if the property is worth it (and you can afford it), consider offering a bit more provided your budget or bank balance allows you.
Another factor that will make you a favourable buyer is if you have a substantial cash deposit to put down. A decent deposit is not only a positive sign of commitment and goodwill, but also shows to both the seller and the agent that you can afford the property. So, it might be good to ensure you’ve got enough saved up before you start the property hunt.
STEP 5: UNDERSTAND THE COST INVOLVED IN BUYING PROPERTY
Many first time buyers are often unaware of all additional costs that are involved in buying and in transferring the property in to your name. These fees can become costly, especially if you’ve not planned for them.
Instead, familiarise yourself with the costs and make sure you can afford to pay them before the property is put into your name. These include:
a) Transfer Costs
This is the fee payable to transfer the property into your name. While the price varies from property to property, you can bargain for anywhere between 8% – 10% of the purchase price amount.
b) Other Costs
Depending with the nature of your agreement of sale with the agent a buyer may be required to pay extra costs to the above like, costs of agreement of sale and administration, prorata municipal rates and taxes and electricity bills.
Happy Property Hunting!
Please note: We have compiled this information in good faith, but we accept no liability for any errors, or for any use that is made of it, or for any problems or damage that may arise as a result of using or acting upon this information.