The Newcastle Herald recently highlighted the Newcastle median house price has surged past $700,000 for the first time and the city’s annual growth rate is outstripping rises in all state and territory capitals.

Latest figures from property analysts CoreLogic show the value of a typical house in Newcastle and Lake Macquarie jumped 3 % in May to $722,000, up 21.3 % in a year.

The typical Newcastle house gained $23,000 in value in a month.

And property values are also booming in the rest of the Hunter; outside Newcastle, the region’s median house value rose 2.8 % in May to $547,000, which was 16 % higher than it was a year ago.

Add to this, the Australian Bureau of Statistics figures show an estimated net loss of 5400 people from Sydney to regional NSW in the December 2020 quarter, up from 3700 in the June quarter and 4700 in the September quarter.

This is all great news if you’re looking to cash in on the boom, and sell your current property, but you still have to find somewhere else to live, and what about if you’re not yet on the property ladder?

High property prices and competition from cashed up Sydneysiders may make some people think they’re in a no-win situation, but there is a positive at the moment – the Reserve Bank said that it was unlikely to raise official interest rates until “at least 2024”.

So, let’s just revisit some basic steps in the property purchasing process and take a look at what financial help is available:

Know your budget and start saving

Sounds obvious, but do you know where you spend your money each month? Knowing what’s coming in and what’s going out means you can work out where saving can be made – foregoing the takeaway coffee every day for the next few weeks can go towards paying a bit extra off the credit card debt. You can then start a savings plan for building a property deposit, paying down a mortgage, or investing into other things.

Decide on your property strategy

Your strategy will depend on your current residential and financial status, and your short and long-term goals. For instance, if you are currently renting, and like where you live, but property prices in this location are way beyond your budget, consider buying an investment property in a more affordable area. For those who already own a property, you could consider selling, buying a house which needs a bit of work, spend a few years doing it up, sell it at a profit, and then look to purchase the dream home. Or maybe you’re after a complete lifestyle change. Alternatively, you maybe wanting to release finance in your current property to buy an investment property.

Find out your financial options

Speak to a financial expert who can talk you through your options and what costs you need to factor in when purchasing and/or selling your property. And help is available for both first time buyers, and home owners looking to sell.

• Help for first time buyers

First Home Buyer Assistance Scheme: 1 August 2020 – 31 July 2021: If you’re a first home buyer, you may be entitled to a concessional rate of transfer duty or even an exemption from paying it altogether under the First Home Buyers Assistance scheme (FHBAS). It applies to:

• buying an existing home
• buying a new home and
• vacant land on which you intend to build a home.

More details here.

First Home Owner Grant: A $10,000 First Home Owner Grant (FHOG) is available when you buy or build your first new home. Your first new home can be a house, townhouse, apartment, unit or similar that is newly built, purchased off the plan or substantially renovated. Details here.

The First Home Loan Deposit Scheme

The First Home Loan Deposit Scheme by the Federal Government to support eligible first home buyers purchase their first home sooner.

Usually, first home buyers with less than a 20 % deposit need to pay lenders mortgage insurance. Under the Scheme, eligible first home buyers can purchase a modest home with a deposit of as little as 5 % (lenders criteria also apply). This is because NHFIC guarantees to a participating lender up to 15 % of the value of the property purchased that is financed by an eligible first home buyer’s home loan.

10,000 First Home Loan Deposit Scheme places will be available for the 2021-22 financial year from 1 July 2021.

• Our special offer to help home owners

We are also helping home owners with a fantastic offer for all residential properties listed with us For Sale by 30th June 2021 (does not include those listed to be sold via Auction).

Our special promotion includes:

• Free Conveyancing
• Free Platinum Marketing Package
• Guarantee of No Sale – No Charge ever

We will arrange for the conveyancing to be completed on the sale of your property by our local real estate legal expert, Iain Gardiner of Dawson Gardiner Solicitors. All associated legal costs with the sale of your property will be covered.

Our FREE Platinum Marketing Package demonstrates how we go above and beyond to ensure that your property is seen by every potential buyer looking to purchase. That way when you accept an offer you can be assured it is the best possible result you can achieve. (Read our ‘secret to sensational prices’ here.)

Surround yourself by experts

Purchasing a property is probably the most expensive thing you’ll buy, so be sure you’ve got the right people around you to make it happen. At a minimum, you will need a solicitor or conveyancer and a mortgage broker or bank. Some people use a property buyer’s agent and if you’re looking at an investment property, a good financial adviser can explain what you need to consider for tax purposes.

If you are selling your house, look for an agent who will not only market your property properly, but will negotiate on your behalf to ensure you get the best price.

Having a good team around you will not only ensure you are making informed decisions, but they will also make the process easier.

Buy the property which is right for you

Once you know what your budget is, start looking for properties which fit your strategy. Whether you’re buying an investment property or a home, consider each property on its own merit, and don’t over stretch yourself. It’s very easy to get excited and caught up in the moment when you see what you think is the perfect property; you want to enjoy your property, not regret your choices.

We are a local, independent family run business with decades of experience behind us. Our aim is to make your property sale as easy, and stress-free as possible; we are frequently told we go above and beyond expectations, and we are constantly achieving brilliant results for our clients.

Contact us now for a free, confidential, no obligation quote. Give us a call on 02 4954 8833, send us an email to: mail@apnewcastle.com.au or call in at the office where we can really talk you through the process and tell you what you need to consider.

Don’t forget to check out our Facebook page for handy tips on selling your property or what to look for when buying a property.