S2 Ep4: Budgeting as a homeowner

In this episode of the Insure your Future Money Bootcamp, hosts Maya Fisher-French and Mapalo Makhu discuss the financial journey of one of Maya's mentees who is in the process of buying her first home. They share practical insights and personal anecdotes that highlight the importance of thorough financial planning before making such a significant purchase.

Understanding the Costs of Homeownership

Maya and Mapalo emphasise the importance of not rushing into homeownership and instead taking a calculated approach by evaluating current expenses and potential new costs. The mentee has been diligent in budgeting, ensuring she understands the costs of levies, utilities, and maintenance before making an offer on a property.

Key Considerations for Homebuyers

The hosts outline crucial factors to consider beyond personal budgeting. They stress the importance of obtaining levy statements and understanding the financial health of the body corporate, as well as the need for a home inspection to uncover potential issues before moving in. They also touch on the often-overlooked costs such as rates and taxes, which can come as a surprise to new homeowners.

Navigating Mortgage Options

Maya and Mapalo highlight the necessity of shopping around for the best mortgage rates, advising listeners not to be tied to their current bank. They discuss the benefits of using a bond originator and the potential for banks to offer 110% mortgages for first-time buyers, covering both the purchase price and additional costs.

Final Thoughts

Listeners are encouraged to run the numbers, consider all associated costs, and make informed decisions to ensure homeownership is a positive experience rather than a financial burden. 

Join us for an insightful conversation that empowers you to take control of your financial future and make informed decisions on your path to homeownership.