6 Common Mistakes Buyers Make When Purchasing Property (And How to Avoid Them!)

Buying a property is an exciting milestone, but it’s also one of the biggest financial commitments you’ll ever make. Unfortunately, many buyers especially first-timers fall into avoidable traps that can cost them time, money, and stress. To help you make a smart and informed purchase, we’ve outlined six common mistakes buyers make when purchasing property in NSW and how to avoid them.

1. Not Getting Pre-Approved for a Home Loan

🚨 Mistake: Falling in love with a property before securing finance. Many buyers assume they’ll get a loan easily, only to find out later that they can’t borrow as much as they expected or that loan approval takes longer than anticipated.

✔ How to Avoid It:✅ Get pre-approved by a lender before house hunting.✅ Know your borrowing capacity and set a realistic budget.✅ Factor in extra costs like stamp duty, legal fees, and moving expenses.

💡 Tip: Pre-approval helps you move quickly when you find the right property and shows sellers you’re a serious buyer.

2. Not Reviewing the Contract of Sale Before Signing

🚨 Mistake: Rushing to sign the contract without fully understanding the terms. Some buyers later discover hidden fees, restrictions, or legal issues that could have been avoided.

✔ How to Avoid It:✅ Have a conveyancer review the contract before signing.✅ Look out for unfair conditions, special clauses, and settlement dates.✅ Make sure all agreed-upon repairs or inclusions are written into the contract.

💡 Tip: Never sign a contract before having a legal expert review it!

3. Skipping Building & Pest Inspections

🚨 Mistake: Assuming the property is in good condition just because it looks nice. Hidden structural issues, pest infestations, or major repair needs can turn your dream home into a nightmare.

✔ How to Avoid It:✅ Book a building and pest inspection before committing.✅ If issues are found, negotiate repairs or a price reduction.✅ Be cautious with properties that have unapproved renovations or extensions.

💡 Tip: Termite damage can cost tens of thousands to repair don’t take the risk!

4. Not Checking for Hidden Costs

🚨 Mistake: Focusing only on the purchase price and forgetting about ongoing expenses. Many buyers underestimate additional costs, leading to financial stress after settlement.

✔ How to Avoid It:✅ Budget for stamp duty, council rates, strata fees (for apartments), and insurance.✅ Ask about special levies in strata properties.✅ Know your mortgage repayments, interest rates, and potential lender fees.

💡 Tip: Use the NSW Stamp Duty Calculator to estimate your stamp duty costs.

5. Ignoring Future Growth & Resale Value

🚨 Mistake: Buying a home without considering its long-term potential. Some buyers purchase in areas with little growth or fail to check future developments that could impact property value.

✔ How to Avoid It:✅ Research local market trends & property growth history.✅ Check future infrastructure projects, transport links, and schools.✅ Think about resale appeal—will this home attract buyers in 5-10 years?

💡 Tip: A property in a growing suburb will increase in value faster than one in a stagnant area!

6. Not Understanding Strata Rules (For Apartments & Townhouses)

🚨 Mistake: Buying into a strata complex without checking the body corporate rules, fees, and financial health. Some buyers end up paying high strata levies or face strict restrictions on renovations, pets, or rentals.

✔ How to Avoid It:✅ Get a Body Corporate (Strata) Inspection Report to check fees, disputes & upcoming repairs.✅ Review by-laws to ensure they align with your lifestyle (e.g., pet-friendly policies).✅ Understand your obligations as an owner in a strata scheme.

💡 Tip: Some strata buildings have huge special levies for repairs—always check the records before buying!

Final Thoughts: Buy Smarter & Avoid Costly Mistakes!

Buying property is a big decision, and avoiding these common mistakes can save you money, time, and stress.

🏡 Before signing anything, make sure you:✔ Get pre-approved for a loan.✔ Have a conveyancer review your contract.✔ Conduct building & pest inspections.✔ Budget for stamp duty & hidden costs.✔ Research property growth & future developments.✔ Check strata rules & fees if buying an apartment.

📞 Need expert conveyancing advice? Let SL Conveyancing guide you through a smooth, stress-free property transaction!

💬 Contact us today to get started! 🚀