7 Tips for Buying a Real Estate Property in Sydney

Are you thinking of buying real estate property in Sydney? You’re not alone! Sydney has been consistently been ranked among the 10 best places to live in the world. Sydney is home to many beautiful landmarks such as the Sydney Opera House, Sydney Harbor Bridge and the Royal Botanic Gardens. It is home to some of the world’s best universities such the University of Sydney and attracts 50,000 international students.

It is no wonder that many people want a home in Sydney! But Sydney property market prices are among the highest in the world. It ranks 17th among 20 countries with a US Dollar per square meter cost of $7,250. In 2011, Sydney’s median property price was estimated at $600,000. In 2015, it was $1,000,616. Despite the million dollar price tag on Sydney property, it continues to attract investors from the local and international markets.

If you plan on buying real estate property in Sydney here are a few tips for you to consider:

Hire a Buyer’s Agent.

A Buyer’s Agent can be a very valuable asset in your quest to find a home in Sydney. They have a large network of property sellers some of whom do not actively market their homes.

Buyers’ Agents in Sydney have experience and expertise in negotiation so you can get the house of your dreams within your budget. They can assist you through auctions which are good venues for buying property if you know how to strategize your bids.

Real Estate Property in Sydney

Define Your Ideal Home.

Viewing homes on the property market can be cumbersome. It will be a challenge for the Buyer’s Agent to reconcile your schedule with the property owner.

Discuss the features that you are looking for in a home and neighborhood with your Buyer’s Agent. This will help your Buyer’s Agent scale down the list of prospective homes for you to visit.

Define Your Budget.

Even if your Buyer’s Agent is able to find a good listing of properties that fall under your qualifications, it will not be worth your time if the price is much higher than your budget.

Keep in mind that listed or quoted prices are not final prices! Many property owners are open to negotiation. Usually, the listed or quoted price is calculated at 10% to 15% higher the range sellers believe buyers are willing to pay for. This is where a Buyer’s Agent can truly shine.

Feel free to visit houses that are priced 10% to 15% more than what you are willing to pay for.

Consider Your Future

Before buying a home in Sydney, ask yourself, “How long do I plan to stay in this house?”

Most people would probably end up buying three to five homes in their lifetimes. The decision to buy is always influenced by the stage of life they are in. As we move on through different stages in life, our needs change.

Always consider factors such as proximity to schools, transportation, your current work place and the Central Business District when deciding on your new home.

Renovations and Improvements

We love to work on our homes; we always want it to get progressively better and more livable. At the same time, there are repairs that come along with wear and tear of a house.

Before you decide on implementing renovations and home improvements, make sure the area can accommodate the price increase you would expect if you placed the house on the market.

You could over- capitalise the cost of home improvement only to realise the market cannot accommodate your anticipated price.

The cost of renovation in Sydney can be quite expensive! If your property is 20 minutes away from the Central Business District, you could end up paying $3,000 to $4,000 per square meter for renovation work.

Educate Yourself on Transaction Costs and Other Charges

Not many buyers of Sydney property know that when they purchase real estate it is not just the cost of the asset they are paying for. There are transactional costs and charges buyers have to be aware of. These include the following:

  • Stamp Duty– Tax payable by the buyer when buying property
  • Land Tax– If the dutiable value exceeds $3 Million you are required to pay premium property tax.
  • Building and Pest Inspection– Make sure the asset you are buying is livable. Don’t just take the word of the seller of the property.
  • Insurance- It may be worthwhile taking out a Building and Contents Insurance when contract shave been exchanged with the seller. This type of insurance protects your interest should something happen to the property in the course of negotiation.

Consult With an Expert

Investing in real estate is not just about placing your hard- earned money in an asset that will yield great returns in the long term.

It is an investment that has far reaching repercussions because the asset could be your place of residence. Your decision could be inhibited by personal biases or self- limiting beliefs.

If you want to be assured of your decision, consult with an expert such as a real estate agent or Buyer’s Agent. They have the advantage of viewing it with a filter of a real estate expert and a homeowner.


Levvin Coffey
Content Concord is the writer behind belfieldrealestate.com, a blog focused on real-estate. She is a professional writer specializing in real-estate, business Investing and many other intellectual fields.

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