How to Buy a House in Australia: Step-by-Step Guide for 2025

Everything you need to know to buy your home with confidence.

Buying a house is a major milestone — and one of the biggest financial decisions you’ll make in your life. Whether you're a first-time buyer or upgrading to a new place, understanding the steps involved can take the stress out of the process and help you move forward with confidence.

At AMI Home Loans, we help Australians every day to secure the right finance, navigate the process, and make smart property decisions. Here’s a simple step-by-step guide on how to buy a house in Australia:

1. Get Your Finances in Order

Before you start house-hunting, take stock of your financial position. You'll need to consider:

  • Your savings and deposit (usually at least 5–20% of the property price)

  • Your income and expenses

  • Any existing debts

  • Your borrowing capacity (we can help you calculate this)

Bonus Tip: The larger your deposit, the better your loan options — and you may avoid Lenders Mortgage Insurance (LMI).

2. Get Pre-Approved for a Home Loan

A loan pre-approval (also called conditional approval) gives you a clear idea of how much you can borrow and shows real estate agents and sellers that you're a serious buyer. It’s not a guarantee, but it puts you in a stronger position when making an offer.

We’ll compare lenders and handle the paperwork for you — at no cost.

3. Start House-Hunting

Now the fun begins. Research areas that suit your lifestyle and budget. You can look at:

  • Online listings (Realestate.com.au, Domain)

  • Local auctions

  • Off-market opportunities via buyer’s agents or local agents

Keep in mind:

  • The asking price is just a guide.

  • Consider costs like stamp duty, council rates, and potential renovations.

4. Do Your Due Diligence

Once you’ve found a place you love:

  • Arrange a building and pest inspection (for houses)

  • Order a strata report (for apartments or townhouses)

  • Review the contract of sale with a solicitor or conveyancer

This is a critical step — don’t skip it.

5. Make an Offer (or Bid at Auction)

  • Private Sale: You submit an offer through the agent. Negotiations may follow.

  • Auction: You’ll need to bid on auction day — if you win, the contract is unconditional.

Tip: You’ll need pre-approval in place before attending an auction, because there's no cooling-off period.

6. Sign the Contract & Pay the Deposit

Once your offer is accepted (or you win an auction), you’ll sign the contract of sale and pay a deposit (usually 5–10%). Your solicitor/conveyancer will handle the legal process.

7. Finalise Your Home Loan

We’ll work with your chosen lender to get your home loan formally approved, complete valuation checks, and get your loan documents ready to sign.

8. Settle & Move In

Settlement typically takes 4–6 weeks. On settlement day, your lender transfers the funds to the seller, the property becomes yours — and you get the keys to your new home!

Need Help? That’s What We’re Here For.

At AMI Home Loans, we’re more than mortgage brokers — we’re your partners throughout the entire process. We’ll:

  • Help you understand your borrowing power

  • Find and compare the right loan

  • Support you from pre-approval through to settlement

  • And yes — our service is completely free

Previous
Previous

Positive vs Negative Gearing: What’s the Difference & Which Is Right for You?