Ready To Buy: 3 Things First Home Buyers Can Do Today
If you’re thinking about buying your first home, the process can feel overwhelming—but the good news is that there are a few simple steps you can take right now to get mortgage-ready. Whether you're months away from applying or preparing to meet with a broker next week, getting organised early will put you in the strongest possible position.
Here are three things you can do today that will make a real difference to your mortgage application.
1. Order Your Credit Report
Before you apply for a mortgage, it’s a smart move to see exactly what the bank is going to see. Your credit report is a record of your repayment history across credit cards, loans, utilities, and any other credit accounts. Even small hiccups—like a missed payment or old default—can affect how a lender views your application.
Ordering your credit report is free. For a basic overview, you can use Credit Simple. But we recommend requesting a full report from Equifax. This gives you the most comprehensive view of your credit history. It can take a few days to a couple of weeks to arrive, so don’t leave it until the last minute.
If anything on the report doesn’t look right—such as an old debt that should have been cleared—now’s the time to fix it. It’s much easier to correct errors before a bank sees them than to try to explain them during the application process.
2. Review and Tidy Up Your Spending
Banks will look at your last 90 days of bank statements to understand your spending behaviour. They’re not just checking how much you earn—they’re checking how much you keep. If your account regularly goes into unarranged overdraft (spending more than you have available), that’s a red flag. Once might be excused, but a pattern of overdrafts could seriously reduce your chances of approval.
To avoid this, set up a dedicated spending account with automatic payments going out for rent, utilities, subscriptions, and groceries. Transfer a set amount into this account each pay cycle, and keep your other accounts separate for savings and discretionary spending. This creates a clear record of financial discipline—something lenders love to see.
One more tip: avoid attaching an EFTPOS card to this expenses account. When spending is hands-off, you’re far less likely to overspend.
3. Get Proof of Income Organised
When it comes to income, the banks want to see more than just deposits into your account. They’ll want to confirm how your income is made up—whether it’s a base salary, commission, or contract—and that it’s stable.
Most banks will ask for your three most recent payslips. These show not just how much you earn, but whether your income fluctuates. If your employer’s payroll system is slow or manual, it’s a good idea to request these now so you’re not waiting on paperwork later.
If you’re self-employed, things are a little different. You’ll need your most recent set of financial statements, and if your financial year hasn’t been finalised yet, the bank may request draft figures. Many accountants are swamped during tax season, so it’s best to request these early. We’ve got more on this in our blog about when to update your accounts.
Bonus Tip: Think About Insurance Early
Buying a home is a huge financial commitment. Now is also the time to think about life and health insurance. If something unexpected happens, you want to know the mortgage can still be paid. An insurance adviser can help you choose a policy that fits your needs and budget. Look for someone who compares options across multiple providers and gives advice based on what’s best for you—not just the easiest to sell.
Final Thoughts: Get Ready to Buy
If you’re serious about buying your first home, don’t wait for the perfect time—start preparing today. These steps will give you a head start:
Request your credit report and check it for errors.
Clean up your transaction history and avoid unarranged overdrafts.
Gather proof of income so it’s ready when you need it.
And once you're underway, talk to a broker. They'll help you understand what comes next and guide you through the full process of securing your mortgage.