Apartment Buyer Type No 5: Owner Occupier

Apartment Specialists Podcast No: 136


What exactly is an owner occupier? Why is this the most common type of buyer in the market? What are the things important to this buyer? Andrew Murray will answer these questions on this podcast, as he reveals the facts about an owner occupier. Find out more on this video.


Buyer type number five owner occupier. Now as you can tell, these type among the other types of buyers. You can figure out this for yourself. It is about what kind of questions you need to ask yourself and also the questions you need to ask a real estate agent.

So, the biggest one with owner occupier, is to figure out, what your budget is? What the restrictions are on that budget? Most home occupiers are going to be having some finance components to what they're purchasing. For example, if you looked in the book, a buyer number one was talking a lot about bank criteria. With owner occupier,  your bank criteria is going to limit you.

That is my advice! Because I find the bank that best suits what you are looking for, in all. If you look at an apartment that is, for example, a two bedroom and you're with Westpac. It's under 55 square metres and you need 70% finance, you're not going to be able to purchase the apartment because Westpac's criteria means that any two bedroom below 55 square metres at this current time is not allowed. I'm doing this podcast means that they'll only lend 50%.

You will need to be searching online at realestate.co and Trademe at apartments you canno t actually purchase, which is wasting your time. What you need to do is work out what your budget is. Then you have got a price range to search in online. Secondly, find out what the restrictions are on the actual complex. Find out what buildings they won't lend on, because there are quite a few buildings that if you're with a specific bank they won't lend on.

They have over-capitalised or what's a better word there, they have lent to too many in the building so they have a risk. For example, GE bank won't lend more than 20%, 25% of apartments within the building. That's another one and then drive around town. Think about where you'd like to live and look at the buildings you like.

Also, look at the building you don't like. And then have a list so you've got a criteria for what you're looking at. The amount of times that I'll have a buyer, that inquire on properties that don't suit them or they can't actually purchase is frustrating not only for the real estate agent, but especially for them.

Eventually, they'll find a property that they really like, but then can't purchase it, which is even more frustrating. An owner occupied purchase is often a one-off or it's often people who are not as experienced with purchasing property. And if that is the case, feel free to go and ask your real estate agent to spend some time with them first. In order to help you figure out your criteria. Have a meeting with them first, and take half an hour or 45 minutes of their time.

Most real estate agents should do this and have a chat with them about what suits them. Obviously, we are apartment specialists, that is what we do. But to help you figure out what you need to do. You'll also see some guides on our website. Usually, buyer's guides on what you can do to help you figure out what your criteria is.

It is really important to know what you are looking for. Otherwise, it is pretty tricky and I see home occupiers who come in on lifestyle properties. But then they don't understand they can't purchase these because they don't have the 50% deposit or equity. Sometimes be very disappointing and it's also my mistake if I have a viewing and I haven't asked a buyer if they have got finance of 50%. Most of the time they come over, "I love it! I want it!" And then they find out they can't purchase it.

I hope these five buyer types have helped and yes, what I am going to put on track next is a couple of podcasts on the questions you need to ask once you have found the apartment or apartments you like. And to know that you are making a safe purchase, you have an idea on what questions you need to ask the real estate agents to find out if it is leaking, or if there are issues on the apartment.

I hope that helps. Cheers.

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Apartment Buyer Type No 5: Owner Occupier