A Step-by-Step Guide for First Home Buyers + 10 Common Mistakes to Avoid

Buying your first home is one of life’s biggest milestones — exciting, empowering, and, yes, a little overwhelming. With so much information (and advice!) flying at you, it’s easy to get lost in the process. That’s why we’ve created this step-by-step guide to help first home buyers understand the process and avoid common pitfalls along the way.

By avoiding the common traps and understanding each step, you’ll set yourself up for long-term success — and a home you’ll truly love.

Step-by-Step Guide to Buying Your First Home

Step 1: Assess Your Financial Position

Before you fall in love with a home, get a clear picture of your budget. Speak to a mortgage broker or bank about your borrowing capacity, including factoring in upfront costs like stamp duty, legal fees, and inspections.

Step 2: Get Pre-Approval

Securing pre-approval gives you a clear buying limit and shows sellers you’re serious. It can also help you act quickly when the right property comes along.

Step 3: Define Your Criteria

Make a list of non-negotiables and nice-to-haves. Think about location, transport, schools, size, parking, and renovation potential. Your lifestyle now and in 5–10 years matters.

Step 4: Start Your Search

Use online portals, attend open homes, and speak with local agents. A buyer’s agent (like us!) can save you time and help uncover off-market opportunities you wouldn’t otherwise see.

Step 5: Do Your Due Diligence

Once you find a potential home, conduct thorough checks — including building and pest inspections, reviewing the contract of sale, and understanding the local market.

Step 6: Make an Offer or Prepare to Bid

You can negotiate a private offer or bid at auction. Either way, knowing how to price the property and when to walk away is key.

Step 7: Exchange and Settlement

Once your offer is accepted, contracts are exchanged, and you pay a deposit (usually 10%). From there, your solicitor or conveyancer will guide you through to settlement — when the property becomes legally yours.

10 Common Mistakes First Home Buyers Make

• Not getting pre-approval first

Looking before understanding what you can borrow can lead to heartbreak — or worse, financial stress.

• Borrowing too much

Just because the bank says you can borrow $700,000 doesn’t mean you should. Focus on what you can comfortably repay long-term.

• Skipping the fine print

Not reviewing contracts properly can lead to nasty surprises. Always get a professional to check them before signing.

• Underestimating additional costs

It’s not just the deposit. Stamp duty, legal fees, insurance, and moving costs add up fast.

• Not researching the area

Buying based on the property alone, without understanding the neighbourhood, transport, or future development plans, can lead to buyer’s remorse.

• Getting emotionally attached

Falling in love with one property can cloud judgment. Be willing to walk away if the price goes too high or issues emerge.

• Forgetting future needs

You might love that one-bedroom unit now, but will it suit your life in five years?

• Not considering strata or body corporate fees

If you’re buying an apartment or townhouse, understand what you’re agreeing to — shared costs, rules, and ongoing fees can eat into your budget.

• Thinking you can do it all alone

You don’t need to navigate this complex process solo. A good buyer’s agent, broker, and legal advisor can save you money and stress.

• Not planning for interest rate changes

Interest rates fluctuate. Make sure you can handle a rate rise — and consider locking in a fixed rate if it suits your situation.

Buying your first property doesn’t have to be stressful or confusing. With the right guidance, realistic budgeting, and a solid plan in place, you can navigate the process with confidence. By avoiding the common traps and understanding each step, you’ll set yourself up for long-term success — and a home you’ll truly love.

Need a Hand?

At Walsh Brown Property, we’ve helped countless first home buyers find, assess, and secure their dream property — often saving them tens of thousands along the way. From off-market opportunities to bidding strategies, we’re here to make your first home purchase smooth and successful.

📩 aly@walshbrownproperty.com.au

📞 0411 771 181

🌐 www.walshbrownproperty.com.au

*** Disclaimer: The information provided in this blog is intended for general informational purposes only. While we have made every effort to ensure the accuracy and reliability of the content, it should not be considered as personalised or professional advice. The homebuying process can vary based on individual circumstances, property types, and location-specific regulations.