First home buyers - what you need to know

Ah yes, the excitement of finding a house and the horror of finding a mortgage. But before we get carried away with that glorious indoor-outdoor entertainer's delight, let's run through some pros and cons of home ownership.

Pros

• Your property should appreciate in value, so your repayments are partly an investment.
• You won't be exposed to rent hikes, evictions, or a cutthroat renter's market.
• There are fewer, or no restrictions on pets, small human restrictions and distasteful paint jobs.

Cons

• Your mortgage will likely cost more than your rent (but think of this as forcible savings).
• Your repayments can change with interest rates, where rent is fixed for longish periods.
• You'll have to pay for building maintenance and home insurance.

First Home Owners Grant

This grant was introduced to offset the effect if the GST on home ownership. Also known - delightfully - as FHOG, or first home buyers grant, it is national scheme that will provide up to $7000 for first home buyers.

• Eligibility criteria and more details at FHOG Online.