If buying a home is on your to-do list for 2026, now is the perfect time to start preparing. A successful property purchase begins well before you start attending open homes or talking to real estate or buyers’ agents. By organising your finances early, you can move quickly and confidently when the right property comes along.
Start with your budget
A clear, realistic budget is the foundation of any successful home purchase. Understanding your income and expenses helps you see what you can comfortably afford and how much you can save for your deposit.
Track your spending for a couple of months to identify where your money goes. Look for ways you can save, such as getting rid of unused subscriptions or dining out less often. These small savings opportunities can add up over time. Consistent saving not only builds your deposit but also shows lenders that you manage money responsibly.
Review and reduce debt
Once your budget is in place, take a close look at any existing debts such as credit cards, personal loans, or car finance. Lenders consider your current financial commitments when deciding how much you can borrow, so managing debt effectively can make a real difference to your borrowing capacity.
Paying down high-interest debts, consolidating where appropriate, and avoiding new credit in the months before applying for a home loan can strengthen your financial position. Even small reductions in your monthly repayments can boost your overall borrowing power.
Check and protect your credit score
Your credit score plays an important role in determining both your loan eligibility and the interest rates available to you. Request a free copy of your credit report from a reputable provider and review it carefully for any errors or outdated information.
Make sure all bills and existing loans are paid on time and try to limit new credit applications. A strong, consistent repayment history tells lenders you are a reliable borrower and puts you in a better position when applying for a mortgage.
Research the market
Once your finances are under control, start researching the property market. Understanding your preferred suburbs and property types will help you set realistic expectations and make confident decisions later.
Look at recent sales, price trends, and the types of properties available in your budget range. Visit open homes, talk to local agents, and learn about transport links, schools, and amenities. The more familiar you are, the better prepared you will be when it is time to make an offer.
Understand the true costs of buying
Buying a home involves more than just saving a deposit. Additional costs such as stamp duty, legal fees, inspections, loan establishment fees, and moving expenses all need to be factored in. Knowing these costs upfront will help you plan more accurately and avoid any unexpected financial surprises.
Your mortgage broker can help you estimate the full cost of buying, including upfront and ongoing expenses, so you can make confident, informed decisions.
Explore government support
If you are a first home buyer or meet certain eligibility criteria, you may be able to access government grants, stamp duty concessions, or guarantee schemes that reduce the amount you need to save for a deposit.
Each state and territory offers different programs, so it is worth checking what is available in your area. Your broker can help you identify which grants you may be eligible for and assist you with the application process. These incentives can make a big difference in helping you enter the market sooner.
Understand how much you can borrow
Once you have a handle on your finances and a clear idea of your target areas, it is time to find out how much you can borrow. Your mortgage broker can calculate your borrowing capacity based on your income, expenses, and savings, and help you compare lenders and loan options.
It is also wise to consider getting pre-approval before you start house hunting. Pre-approval gives you a clear idea of your budget and shows sellers that you are serious. It also allows you to move quickly and confidently when you find the right property.
Preparing to buy a home takes time and organisation, but it is one of the best investments you can make in your financial future. We can help you put everything in place for home-buying success in 2026.
Our team are ready to help you create the plan that best suits you, contact us here.
