Buying your first home? Here’s how to get the best deal

With interest rates likely on the way down (even despite last week’s hold), new homebuyers will be out in force looking to get into the market.

But while buying your first property is a major milestone, most people have very limited experience when it comes to actually negotiating a deal. Young buyers are thrust into completely unfamiliar territory and expected to compete against sales agents with years of experience.

For first home buyers, negotiating with agents and navigating auctions can be stressful and unnerving.Credit: Dion Georgopoulos

You’re navigating price, competing with other buyers, all while trying to make a good decision that will shape your financial future. The good news is that with the right approach, you can quickly become a far stronger negotiator.

Negotiation isn’t just about knocking down the price. It’s about gathering the right information, understanding the motivations of the other side, and presenting yourself as the person sellers want to work with. Here’s how to approach it like a professional.

Master the psychology of the deal

At the core of every property negotiation are people. Understanding the motivations of the vendor, the communication style of the agent, and how to position yourself as the most attractive buyer can give you an edge that price alone can’t buy.

The best negotiators are prepared to walk away.

Start by asking better questions. A good negotiator gathers information before making an offer. Ask things like, “What’s important to the vendor aside from price?” or “Would certain terms help the deal get done faster?”

These conversations signal to the agent that you’re serious, prepared, and respectful. That builds trust, which can become a deciding factor when offers are close.

Equally important is how you present yourself. Agents want to deal with buyers who are confident, clear, and capable. Be decisive about your budget, know your walk-away point, and avoid appearing uncertain or emotional. A buyer who can close is always preferred over one who hesitates.

Use information as leverage

The biggest advantage in any negotiation is information. Too many first-time buyers focus only on what they want to pay, without understanding what the property is actually worth, or what might be influencing the vendor.

Research is your best friend here. Know what comparable properties have sold for. Understand the zoning, any future developments nearby, and whether the home has renovation needs or compliance issues.

Being well-informed allows you to make your case with clarity. Instead of saying, “I just don’t want to pay that much,” you can say, “Based on recent sales, building condition, and upcoming strata costs, I believe this is a fair offer.”

This kind of language moves the conversation from emotion to facts, and it’s where most deals are won.

Don’t fall in love with the deal

One of the easiest ways to lose a negotiation is to get emotionally attached. The moment you decide you “must” have the property, your bargaining power slips away.

The best negotiators are prepared to walk away. They set a ceiling based on data, not feelings, and they stick to it. Ironically, this confidence often works in your favour.

Agents know when a buyer is being rational and firm, and they’re more likely to circle back to you if other deals fall through. Sometimes, walking away is the very move that gets the deal across the line.

Know when to bring in help

Negotiation is a skill, and it’s one that gets better with experience. If it’s your first time, and you’re feeling outmatched, there’s no shame in bringing in professional support.

A qualified buyer’s agent can help you find off-market deals, assess a property’s true value, and negotiate terms that align with your goals. Even a one-off engagement can save you thousands and help you avoid common traps.

And if you’re going it alone, take the time to learn from how professionals negotiate. Watch, read, and study. There’s a repeatable method to successful deals, and once you know it, the process becomes far less intimidating.

Negotiating your first property purchase doesn’t have to be a gamble. With the right mindset, solid research, and a clear understanding of your goals, you can shift the odds in your favour. You also don’t need to be aggressive or pushing for every last dollar.

But you do need to position yourself as the buyer who’s done their homework and understands the process. That’s how you win your first deal and set the tone for a successful property journey.

Abdullah Nouh is director of Mecca Property Group, a specialist buyers’ agency helping Australians build wealth through strategic residential and commercial investments.

• Advice given in this article is general in nature and is not intended to influence readers’ decisions about investing or financial products. They should always seek their own professional advice that takes into account their own personal circumstances before making any financial decisions.

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