So many young couple make the mistake of buying their "dream home" when they buy their first home. The real problem with that is that it can put a lot of financial pressure on you from day one and over extending yourself is the number one mistake to avoid. The key to your first home is to buy value. Value is the name of the game in all forms of investing and unless you get this right, you will pay the price further down the line.

In a so-called "hot" market prices are high and supply is low, so people tend to push their finances to the limit just to afford what they want to buy. When the market goes down, many people are stuck with real estate that they can't sell for anything close to the price they paid for it. It often a long wait if you want to wait for the market to return to its former glory and if y can't wait you will be forced to sell for less - leaving you in the at a potential loss.

If you buy after value however, you will likely sell your property for a lot more than you bought it for. Not only will you be able to buy a much nicer place when you do sell, but you will have lot more choice. The definition of a property that has value is simple: it costs less than its worth. So, how do you find those? Its not always that easy and often takes a more experienced investor but there are a few simple tips that might help you out.

Start by focusing your search on up and coming areas. Don't try and buy your first home in the top neighborhoods. Prices are already inflated and the opportunity to buy bargains are few and far between. Any good real estate agent will be able to tell you which areas are up and coming. Then start looking for potential value. Stuff like schools, public transport and proximity to shops are all indicators of a good property. Then, establish the average price and base your search on that. Try and find something under the average price without compromising on space and locale.

Buying a property like that will not only benefit from the overall price going up, it will benefit from your smart buy as well. A bargain in an up and coming area is always a good buy no matter how you look at it. The only downside is that you might have to hold on to it for a while, but that's a small price to pay.