6 Mistakes to avoid as a first home buyer

Buying your first home is a huge milestone — congrats on taking the leap! But it can also feel overwhelming, especially when you're learning the ropes as you go.

To help you steer clear of costly setbacks, here are 6 common mistakes first home buyers make — and how you can avoid them.

1. Skipping Pre-Approval

Without pre-approval, you won’t know exactly how much a lender is willing to offer you. It can lead to heartbreak if you fall in love with a home outside your borrowing power.

Get pre-approved before you start house hunting. It gives you a clear price range and makes you a more confident (and serious) buyer. As mortgage brokers, we can help you through the process from start to finish — and explain it in simple terms.

2. Underestimating the True Costs

First home buyers often focus just on the deposit and forget about additional costs like stamp duty (unless exempt), legal fees, building inspections, and moving costs.

Factor in every upfront and hidden cost from the start. We’ll help you map out all the numbers, including any first home buyer grants or stamp duty concessions you may be eligible for.

3. Not Researching the Area

You might find the perfect house… in the wrong location. It can affect everything from your lifestyle to your future resale value.

Research suburbs you're interested in — look into school zones, transport, future developments, and community vibe. Visit at different times of day and speak to locals if you can.

4. Letting Emotions Take Over

It’s easy to get attached to a property and make impulsive decisions — especially during auctions or private offers where emotions run high.

Stick to your budget and don’t let FOMO push you into overpaying. Remember: this is your first home, not your forever home — stay practical and focused.

5. Skipping a Building & Pest Inspection

You might think you’re saving money, but skipping inspections can lead to major repair costs down the line.

Always invest in a professional inspection before you commit. It can uncover hidden problems and help you negotiate better — or walk away if needed.

6. Not Thinking Long-Term

Your needs may change over the next few years — whether that’s starting a family, working from home more, or upgrading later.

Think beyond right now. Choose a home that fits your lifestyle today and has potential to grow with you — or hold value if you decide to rent it out or sell in the future.

Your first home is a big step, and it's normal to feel a little unsure. The good news? You don’t have to figure it all out on your own.

We help first home buyers every day — from getting pre-approved and accessing government grants (particularly given the impending changes to government grants from 1 Jan 2026) to finding the right loan for your budget and lifestyle. Reach out today for a free, no-obligation chat and let’s build your plan together.