Making your first offer on a property can feel like a leap into the unknown; especially when you’re worried about offering too little… or way too much. As a first-home buyer, it’s normal to feel torn between excitement and FOMO (fear of missing out). The good news? With the right approach, you can make an offer that’s competitive, and smart.
Know What the Property Is Really Worth
Before you even think about how much to offer, do your homework. Look at recent comparable sales ("comps") in the area, not just listings, but what homes actually sold for. Use websites like realestate.com.au or Domain to find similar properties (size, condition, location) that settled recently.
This gives you a realistic price range and helps you avoid relying solely on listing prices, which may not reflect recent sales.
Decide Your Offer Strategy
Buyers commonly use different approaches when preparing an offer. Some begin with a lower amount and adjust if needed, while others choose to present a stronger initial offer depending on market conditions.
There’s no perfect answer, what matters most is ensuring your offer aligns with your financial comfort level. The best offer is one that works for your budget, not your emotions.
Include the Right Conditions
Your offer can be conditional, meaning it’s subject to things like:
- Finance approval
- Building and pest inspection
- Sale of your current home (if applicable)
These conditions are commonly included to help manage risk in a purchase. Your solicitor or conveyancer can advise you on how they should be documented.
Don’t Skip the Legal Review
Before signing anything, have a solicitor or conveyancer check the contract of sale. They’ll look for red flags and explain the fine print (so you don’t miss critical clauses or timeframes). This step is sometimes overlooked, but a legal professional can help you understand important details before committing.
Keep Emotions in Check
It’s easy to fall in love with a property and feel like you have to "win". But remember, there will always be other homes. Paying more than you intended may affect your overall financial position, so it’s important to stay within a budget you’re comfortable with. Set your budget and stick to it. If an offer doesn’t align with your budget or comfort level, it’s reasonable to pause and reassess your position.
Final Tip: Be Ready to Move Fast
If your offer is accepted, things move quickly. You’ll need to pay a deposit (often 10%), finalise your loan, and prepare for settlement. Having your pre-approval sorted and your team (broker, conveyancer, inspector) ready to go gives you a big head start.
Feeling overwhelmed? You’re not alone. Making your first offer can be nerve-wracking, but you don’t have to figure it all out alone. Download the free First Home Buyer e-book, packed with offer checklists, negotiation tips, and scripts to help you speak confidently to agents. It’s your step-by-step guide to understanding the buying process from early planning through to settlement.Grab your copy now, and buy smart, not stressed.
