Are you a first-time buyer? At Bomae, we've got your back at every stage of the house hunt. Get impartial help with your home purchase here and get the best possible start as a first-time buyer. Read more below.
Venturing into the property market can feel daunting and overwhelming when you're a first-time buyer. It can be a long and winding road from your first wishes for a home of your own, to finding your dream home, to having the purchase agreement signed and sealed.
At the same time, there are quite a few pitfalls you need to steer clear of if you don't want to end up with large expenses – or, in the worst case, a housing nightmare. We'll guide you through the house hunt here – from your initial thoughts through to signing the contract and moving into your dream home.
What should you know as a first-time buyer? There are some things you need to have sorted before you kick off your first home purchase – especially if you're a first-time buyer.
- Get a solid savings plan going
Before you start thinking further about the house purchase, it's a good idea to have your savings well underway. Here it can make good sense to set a tight budget, so you can quickly reach a solid savings goal. This will help you a great deal when you're about to take out a loan from the bank, and the budget also gives you an overview of your (or your household's) disposable income each month. In many cases, you'll need to cover at least 5% of the home's price from your own pocket.
- Find exactly the right home loan
Once you know how much you can borrow, it's also far easier to target your house hunt. The home loan can vary depending on whether it's an andelsbolig (housing co-operative share) or a freehold property (ejerbolig). It can also be a good idea to apply for what's known as a loan certificate (lånebevis), a kind of pre-approval. This can give you a strong card to play once you're active in the property market, where you often need to move fast to secure a deal.
Read more about financing your home here.
- Align your expectations, wishes, and needs
If you start out with far too many demands and wishes for your dream home, you can quickly end up evenly disappointed. That's why it's a really good idea to start by setting a targeted home-search strategy. What are the most important priorities the home should ideally meet?
This could be:
- How many rooms there should be – as well as a minimum number of square meters
- Which area the home should ideally be located in – close to school, work, or nature?
When you align expectations, it's also a good idea not just to be realistic, but to think 5-10 years into the future. Are there children in the picture who will need more space and shorter distances to childcare institutions? Do you have plans to retire, start studying, or begin a new career path? This will make the house hunt much more manageable, but will also make sure you take out a loan that gives you the financial headroom you need to fund the dreams of the future.
The home purchase step by step Once you've found your dream home, the home purchase really begins in earnest. Here it's important that you're always on your toes, because it can be a somewhat elaborate process. But you also need to be careful not to make hasty decisions. You can read our big guide to the home purchase step by step here, where we dive into the many stages of the home purchase. Does it feel overwhelming? At Bomae, we're of course here to help you the whole way.
Pay attention to the home's condition
Remember to inspect the home's condition before you sign a sales agreement. It can also be a great negotiating point, so that you don't end up paying too much for a home that isn't in tip-top condition. The home's condition will be set out in the condition report (tilstandsrapport).
Get assigned a building surveyor from Bomae here, who has your back when you're inspecting the condition of the house. Price negotiation and review of the purchase agreement
Negotiating on price can be difficult, especially when you're a first-time buyer, since you're not familiar with the many tricks and tactics involved in a price negotiation. That's why it's a good idea to have an expert by your side who can guide you safely and confidently through the price negotiation. That way, you won't end up paying more than you should.
Get many more good tips for price negotiation here.
Drafting the deed
Have you settled on the right price and are you completely comfortable with the outcome of the negotiation? Then you need to sign a skøde (the deed) and register it with tinglysning (land registration). This formalizes the home purchase and is essential when finalizing it.
Read more about drafting the deed and land registration here
First-time buyer of a house or an apartment? There are different things to be aware of depending on whether you're a first-time buyer of a house or an apartment. You can therefore read much more about what to remember as a first-time buyer of a house here.
Are you instead a first-time buyer of an apartment? Then you can read more in our buyer's guide here.
Fill in the contact form so we can have a chat about how we can help you buy and finance your home.
We're ready to review and calculate the consequences for you.
