Quick tip on buying a property at Auction
Many people go to house auctions, some to buy and some to just watch and get an idea what houses in the area go for. You may find yourself at a property auction wanting to buy a home or an investment property.
If you do go a property auction with the intention to purchase a property then be aware that you are required to put down a deposit.
A 10% deposit can be a very difficult amount to lose if you don't have the ability to get finance after the auction.
Buying a property at auction without the available finance can easily lead to the breakup of a marriage as "future plans" go astray having just lost $40k - $70k.
You know that whenever there are words exchanged over money during the next 50 years you're going to hear about it.
Make sure that you have your home loan organised first so that you don't have to go through the financial grief of losing a large sum of money.
You may be a property developer, buying, renovating and then selling homes for a profit and think that your bank will just automatically give you a new home loan because you're a good customer servicing three loans already.
They aren't obligated to do anything and with interest rates set to rise you may find yourself being declined, which leaves you a home loan at a higher interest rate that you may not be able to afford to repay.
Get your home loan or property investment loan organized before you head off to any property auctions.
You don't need to be an Aussie customer
Ongoing low interest rates
Live life at a great rate
Calculate what is best for your financial situation with the Banks.com.au Online Calculators.
